XYZ Company Has a Variable Cost Ratio of 40%, Fixed

question 82

Multiple Choice

XYZ Company has a variable cost ratio of 40%, fixed expenses of $200,000, and desires to earn operating income of $100,000.Total sales revenue required to achieve XYZ Company's desired operating income is:

• A)$340,000.
• B)$380,000.
• C)$420,000.
• D)$500,000.

---

Definitions:

Net Exports

Represents the difference between a country's total value of exports and its total value of imports over a certain period.

National Income

The total value of all goods and services produced by a country over a specific period, reflecting the overall economic health of the nation.

Personal Income

Income received by household, including both earned income and transfer payments.

Residential Structure

A building designed for people to live in, which includes houses, apartments, condos, and other dwellings.