Balonek Inc.'s contribution margin ratio is 57% and its fixed monthly expenses are $41,000. Assuming that...
Balonek Inc.'s contribution margin ratio is 57% and its fixed monthly expenses are $41,000. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's net operating income in a month when sales are $112,000?
Homework Answers
Answer) $22,840
A) Sales $112,000
B) Contribution ( A X 57%) = $63,840
C) Fixed Expenses. $41,000
D) Net income (B - C) $22,840
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