Homework Help is Here – Start Your Trial Now!
Business
Accounting
Last year, Junction Company earned an operating income of $32,500 with a contribution margin ratio of 0.35. Actual revenue was $280,000. Calculate the total fixed cost. Round your answer to the nearest dollar, if required.

Last year, Junction Company earned an operating income of $32,500 with a contribution margin ratio of 0.35. Actual revenue was $280,000. Calculate the total fixed cost. Round your answer to the nearest dollar, if required.

Principles of Accounting Volume 2
Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter9: Responsibility Accounting And Decentralization
Section: Chapter Questions
Problem 8EA: Using the information in the previous exercises about Marleys Manufacturing, determine the operating...
See similar textbooks
icon
Related questions
Question
100%

Last year, Junction Company earned an operating income of $32,500 with a contribution margin ratio of 0.35. Actual revenue was $280,000. Calculate the total fixed cost. Round your answer to the nearest dollar, if required.

Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS