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zalisa [80]
1 year ago
6

Raven Company has a target of $70,000 pre-tax income. The contribution margin ratio is 30%. What amount of dollar sales must be

achieved to reach the goal if fixed costs are $36,000?
Business
1 answer:
MrRa [10]1 year ago
8 0

Answer:

Sales will be $353333.33

Explanation:

We have given fixed Cost = $ 38,600

Earning Required = $70,000

Contribution margin ratio = 30 %

Hence Contribution Required= Fixed Cost+Earning Required  = $70000+$36000 = $106000

We know that contribution margin ratio is given by

Contribution margin ratio =\frac{contribution\ margin\ }{sales}

0.3=\frac{$106000 }{sales}

Sales = $353333.333

                 

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I can't help you sorry

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I don't know what any of this means

4 0
1 year ago
Hart Manufacturing makes three products. Each product requires manufacturing operations in three departments: A, B, and C. The l
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Answer:

Objective function:

Maximize Z: 30P1 + 25P2 + 28P3

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Explanation:

The objective function is formulated from the contribution margin of the three products. For instance, the contribution of Product 1 is $30, the contribution of Product 2 is $25 and the contribution of Product 3 is $28. Thus, the objective function will be 30P1 + 25P2 + 28P3.

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6 0
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Tamara is a Managerial Accountant at Everything New. Everything New manufactures furniture. Tamara purchased leather to be used
Murrr4er [49]

Answer:

B. Raw Materials

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