The correct answer is b)$ 500000
Firstly we have to calculate contribution margin ratio =
Contribution margin / sales ×100
= (60000-30000)250000×100
= 12%
The break even sales in dollars
= fixed cost/contribution margin ratio
= $ 60000 ÷ 12 %
=$ 500000
Last month Kelly Company had a $30,000 loss on sales of $250,000. Fixed costs are $60,000...
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if sales is $50,000 variables costs is $30,000 and fixed costs is $15,000 break even sales is. 37000 15000 83333 95000
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