Answer the following question(s) using the information below.
After conducting a market research study, Schultz Manufacturing decided to produce a new interior door to complement its exterior door line. It is estimated that the new interior door can be sold at a target price of $60. The annual target sales volume for interior doors is 20,000. Schultz has target operating income of 20% of sales.
-What are target sales revenues?
A) $960,000
B) $2,000,000
C) $1,800,000
D) $1,000,000
E) $1,200,000
Correct Answer:
Verified
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