What monthly operating income for sales


Question: Tuned Corporation manufactures and sells portable radios. The radios sell for $40 per unit, and its variable costs per unit are $10. Fixed costs are $60,000 per month for sales volume up to 27,000 radios. If more than 27,000 radios are sold, the fixed cost will be $63,000. The flexible budget would reflect what monthly operating income for sales for 500,000 radios. A is $63,000. B is $1,437,000. C is $1,500,000. D is $2,000,000.

 

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Accounting Basics: What monthly operating income for sales
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