Multiple Choice
Acme Sales has two store locations.Store A has fixed costs of $125,000 per month and a variable cost ratio of 60%.Store B has fixed costs of $200,000 per month and a variable cost ratio of 30%.At what sales volume would the two stores have equal profits or losses?
A) $250,000.
B) $325,000.
C) $361,111.
D) Cannot determine with the information given.
Correct Answer:
Verified
Correct Answer:
Verified
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