XYZ Corporation has total fixed costs of $175,000 and a contribution margin ratio of 40%. What is the break-even sales amount? A. $437,500 B. $375,000 C. $525,000 D. $400,000

Principles of Accounting Volume 2
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ISBN:9781947172609
Author:OpenStax
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Chapter3: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 6MC: If a company has fixed costs of $6.000 per month and their product that sells for $200 has a...
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Hi expert please give me answer general accounting question

XYZ Corporation has total fixed costs of $175,000 and a contribution
margin ratio of 40%. What is the break-even sales amount?
A. $437,500
B. $375,000
C. $525,000
D. $400,000
Transcribed Image Text:XYZ Corporation has total fixed costs of $175,000 and a contribution margin ratio of 40%. What is the break-even sales amount? A. $437,500 B. $375,000 C. $525,000 D. $400,000
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