Jerry's TV and Appliance Store is a small company that has hired you to perform some management advisory services. The following in Sales (1,000 televisions) Cost of goods sold Store manager's salary per year Advertising and promotion per year Other operating costs per year Commissions (4% of sales) $ 900,000 400,000 70,000 15,000 157,000 36,000 What are the estimated total costs if Jerry's store expects to sell 3,000 units next year? OA $1,550,000 O B.$1,671,000 O C.$1,453,000 OD.$1,332,000
Jerry's TV and Appliance Store is a small company that has hired you to perform some management advisory services. The following in Sales (1,000 televisions) Cost of goods sold Store manager's salary per year Advertising and promotion per year Other operating costs per year Commissions (4% of sales) $ 900,000 400,000 70,000 15,000 157,000 36,000 What are the estimated total costs if Jerry's store expects to sell 3,000 units next year? OA $1,550,000 O B.$1,671,000 O C.$1,453,000 OD.$1,332,000
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 6CE
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Transcribed Image Text:QUESTION 26
Jerry's TV and Appliance Store is a small company that has hired you to perform some management advisory services. The following int
Sales (1,000 televisions)
Cost of goods sold
Store manager's salary per year
Advertising and promotion per year
Other operating costs per year
Commissions (4% of sales)
$ 900,000
400,000
70,000
15,000
157,000
36,000
What are the estimated total costs if Jerry's store expects to sell 3,000 units next year?
OA. $1,550,000 OB.$1,671,000 O C.$1,453,000 OD. $1,332,000
D
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