Miguel Manufacturing Has Fixed Costs of $2,500,000 and Variable Costs

question 64

Multiple Choice

Miguel Manufacturing has fixed costs of $2,500,000 and variable costs are 40% of sales.What are the required sales if Montoya desires an operating income of $250,000?

• A)$4,583,333
• B)$4,166,667
• C)$6,875,000
• D)$6,250,000

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Definitions:

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Behavioral View

A perspective in psychology that focuses on observable behaviors and the ways in which they're learned through interactions with the environment.

Attachment

Attachment is an emotional bond between individuals, particularly in the context of a child's early relationships with caregivers, that has a profound influence on their social, emotional, and cognitive development.

Gratification

The pleasure or satisfaction obtained from achieving something desired or fulfilling a need.