Artis Sales Has Two Store Locations

question 125

Multiple Choice

Artis Sales has two store locations. Store A has fixed costs of $125,000 per month and a variable cost ratio of 60%. Store B has fixed costs of $200,000 per month and a variable cost ratio of 30%. What is the break-even sales volume for Store A?

• A) $208,333.
• B) $312,500.
• C) $325,000.
• D) Cannot determine with the information given.

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Definitions:

Effective Teams

Groups of individuals working together efficiently to achieve a common goal through collaboration, clear communication, and complementary skill sets.

Clear Objective

A specific, defined goal that is straightforward and easy to understand, guiding actions and decisions.

Competitive Relationships

Dynamics between entities (such as companies or individuals) in which they vie against each other to achieve superiority or dominance in a certain area.

Extranet

A controlled private network that allows access to partners, vendors, or selected customers, extending certain privileges of the company's intranet.