Answer the Following Questions Using the Information Below

question 3

Multiple Choice

Answer the following questions using the information below:
Perth TV currently sells flat screen televisions for $180.It has costs of $140.A competitor is bringing a new flat screen television to market that will sell for $150.Perth believes it must lower the price of its television sets to $150 to remain competitive.Marketing believes that the new price will cause sales to increase by 10%,even with the new competitor in the market.Perth's sales are currently 100 000 televisions per year.
-What is the target cost if target operating profit is 25% of sales?

• A)$45.00
• B)$135.00
• C)$112.50
• D)$37.50

Comprehend the fundamental assumptions guiding financial reporting.

Recognize the importance and purpose of financial statements in communicating business activities.

Understand ethical responsibilities in accounting and financial reporting.

Understand the relevance of accounting in various contexts, not limited to profit-oriented businesses.

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Definitions:

Four-wheel-drive Vehicles

Automobiles equipped with a drivetrain that allows all four wheels to receive torque from the engine simultaneously.

Nuclear Energy

Energy released during nuclear fission or fusion, especially when used to generate electricity.

Nuclear Fusion

A process where two light atomic nuclei combine to form a heavier nucleus, releasing a large amount of energy.

Uranium Decays

The process by which uranium atoms split into smaller parts (decay), releasing energy and creating new elements, used in both nuclear energy production and radiometric dating.