Tropp Corporation sells a product for $10 per unit. The fixed expenses are $420,000 per month and the unit variable expenses are 60% of the selling price. What sales would be necessary in order for Tropp to realize a profit of 10% of sales? a. b. C. d. $1,050,000 $945,000 $1,400,000 $840,000
Tropp Corporation sells a product for $10 per unit. The fixed expenses are $420,000 per month and the unit variable expenses are 60% of the selling price. What sales would be necessary in order for Tropp to realize a profit of 10% of sales? a. b. C. d. $1,050,000 $945,000 $1,400,000 $840,000
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter10: Cost Analysis For Management Decision Making
Section: Chapter Questions
Problem 13E
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Transcribed Image Text:Tropp Corporation sells a product for $10 per unit. The fixed expenses are $420,000 per
month and the unit variable expenses are 60% of the selling price. What sales would be
necessary in order for Tropp to realize a profit of 10% of sales?
a.
b.
C.
d.
$1,050,000
$945,000
$1,400,000
$840,000
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