Stacker Requires Sales of $500,000 to Cover Its Fixed Costs

question 85

Multiple Choice

Stacker requires sales of $500,000 to cover its fixed costs of $100,000 and to earn net income of $80,000.What percent are variable costs of sales?

• A)36%
• B)2.77%
• C)20%
• D)64%

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Definitions:

Abstract Nature

The quality of being abstract; not representing or imitating external reality or the objects of nature.

Equality

The state, quality, or ideal of being equal, especially in status, rights, and opportunities.

Fairness

The quality of making judgments that are free from discrimination or bias, ensuring equal treatment for all.

Defining Justice

The act of determining what is morally right, fair, and equitable within a society, often involving the application of laws and ethical principles.