In 2018, Samantha's Bath and Body Shop Had Variable Costs

question 25

Multiple Choice

In 2018, Samantha's Bath and Body Shop had variable costs of $27,000, fixed costs of $18,000, and a net loss of $4,500.
The annual sales volume required for Samantha's to have a before-tax income of $18,000 is

• A)$126,000.
• B)$84,000.
• C)$73,500.
• D)$42,000.

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Definitions:

Personally Responsible

Being accountable for one's actions or duties, recognizing one's role in the outcomes of those actions.

Uncertain

A state of having limited knowledge where it is impossible to exactly describe the existing state, a future outcome, or more than one possible outcome.

Door-In-The-Face

A persuasive technique where a large, unreasonable request is made first, followed by a smaller, more reasonable one, which is the target request.

Lesser Request

A smaller or less significant appeal or petition compared to others.