Misa Corporation Manufactures Circuit Boards and Is in the Process

question 89

Multiple Choice

Misa Corporation manufactures circuit boards and is in the process of preparing next year's budget.The pro forma income statement for the current year is presented below. For the coming year,the management of Misa Corporation anticipates a 5 percent decrease in sales,a 10 percent increase in all variable costs,and a $45,000 increase in fixed costs.The operating profit for next year would be:

• A)$477,500.
• B)$492,500.
• C)$552,500.
• D)$831,250.

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Definitions:

Excretory

Pertaining to the process of eliminating waste products from the body's metabolism.

Waste Products

Substances that are produced as byproducts of metabolic processes and need to be eliminated from the body.

Crushing

Compressing or squashing something with force so that it becomes distorted, broken, or compacted.

Diabetes Mellitus

A chronic condition characterized by elevated levels of glucose in the blood due to insulin deficiency or resistance.