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CONCEPTS IN FED.TAX.,2020-W/ACCESS

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter6: Business Expenses

Section: Chapter Questions

Problem 37P

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Provide correct answer this general accounting question

Tyler Brooks started a small business that delivers gourmet snack boxes
to office workers. He sells each snack box for $35, and the variable cost
per box is $22. Each year, Tyler incurs $15,000 in fixed operating costs.
How many snack boxes must Tyler sell this year to earn an operating
income of $31,000?

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