Last Month Lyle Company Had a $60,000 Profit on Sales

question 42

Multiple Choice

Last month Lyle Company had a $60,000 profit on sales of $300,000.Fixed costs are $120,000 a month.How much do sales have to increase for Lyle to earn a $100,000 profit?

• A)$66,667
• B)$83,333
• C)$220,000
• D)$400,000

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Definitions:

Associated Services

Additional services related to a product or core service that enhance its value or user experience.

After-Sale Service

Support provided to a customer after a product has been purchased, including maintenance, repairs, and customer assistance.

Extended Warranty

An additional warranty that consumers can purchase to extend the warranty period beyond the standard warranty offered by the manufacturer or seller.

Maintenance Plan

A strategy for regularly scheduled maintenance activities intended to ensure the long-term efficiency and reliability of equipment, systems, or buildings.