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XYZ Inc. has variable costs of 60% of sales, current sales of $500,000, and fixed costs of $120,000. What level of sales is required to achieve a net income of $80,000?

XYZ Inc. has variable costs of 60% of sales, current sales of $500,000, and fixed costs of $120,000. What level of sales is required to achieve a net income of $80,000?

Cornerstones of Cost Management (Cornerstones Series)
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 36P: Faldo Company produces a single product. The projected income statement for the coming year, based...
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What level of sales is required to achieve a net income of $80,000?

XYZ Inc. has variable costs of 60% of sales, current sales of $500,000, and fixed costs of $120,000. What level of sales is required to achieve a net income of $80,000?
Transcribed Image Text:XYZ Inc. has variable costs of 60% of sales, current sales of $500,000, and fixed costs of $120,000. What level of sales is required to achieve a net income of $80,000?
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