ABC Corp has the following data in year 2020: Sales 400,000; Variable cost 300,000 and Net loss 50,000. If the company wants to have a profit ratio of 10% of sales in year 2021, how much is the additional sale needed by ABC Corp to meet the target profit ratio?

ABC Corp has the following data in year 2020: Sales 400,000; Variable cost 300,000 and Net loss 50,000. If the company wants to have a profit ratio of 10% of sales in year 2021, how much is the additional sale needed by ABC Corp to meet the target profit ratio?

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter22: Master Budget (master)

Section: Chapter Questions

Problem 5R: Suppose the company has just the opposite news and now expects unit sales for August, September, and...

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