Atlas Manufacturing's break-even point in sales is $1,200,000, and its variable expenses are 65% of sales. If the company lost $60,000 last year, sales must have amounted to: a. $1,150,000 b. $1,028,571 c. $950,000 d. $890,000

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter6: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 7BE: Margin of safety Jorgensen Company has sales of 380,000,000, and the break-even point in sales...
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Atlas Manufacturing's break-even point in sales is $1,200,000, and its variable expenses
are 65% of sales. If the company lost $60,000 last year, sales must have amounted to:
a. $1,150,000
b. $1,028,571
c. $950,000
d. $890,000
Transcribed Image Text:Atlas Manufacturing's break-even point in sales is $1,200,000, and its variable expenses are 65% of sales. If the company lost $60,000 last year, sales must have amounted to: a. $1,150,000 b. $1,028,571 c. $950,000 d. $890,000
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