A Firm Estimates That It Will Sell 100,000 Units of Its

question 91

Multiple Choice

A firm estimates that it will sell 100,000 units of its sole product in the coming period.It projects the sales price at $40 per unit,the CM ratio at 60 percent,and profit at $500,000.What is the firm budgeting for fixed costs in the coming period?

• A)$1,600,000
• B)$2,400,000
• C)$1,100,000
• D)$1,900,000

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Definitions:

Scaffolding

Temporary support that is tailored to a learner’s needs and abilities, and aimed at helping the learner master the next task in a given learning process.

Restitution

The act of making amends for wrongdoing or harm caused, often involving compensation or repair.

Retribution

The concept of punishment imposed on someone as vengeance for a wrong or criminal act.

Punishment

A consequence given in response to an undesirable behavior with the intent of reducing that behavior's occurrence.