Answer the Following Question(s)using the Information Below

question 32

Multiple Choice

Answer the following question(s) using the information below.After conducting a market research study, Schultz Manufacturing decided to produce a new interior door to complement its exterior door line.It is estimated that the new interior door can be sold at a target price of $60.The annual target sales volume for interior doors is 20,000.Schultz has target operating income of 20% of sales.
-What is the target operating income?

• A)$240,000
• B)$360,000
• C)$200,000
• D)$192,000
• E)$400,000