Beta Corp Has a 45% Contribution Margin Ratio on All Units

question 96

Multiple Choice

Beta Corp. has a 45% contribution margin ratio on all units they sell. The company would like to make a profit of $20,000. Fixed costs are $70,000. What must Beta earn in sales revenue?

• A) $136,000
• B) $163,636
• C) $200,000
• D) $225,000

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