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The Western Boot Company Will Produce 94,000 Pairs of Boots

Question 60

Essay

The Western Boot Company will produce 94,000 pairs of boots next year.Variable costs are 35 percent of sales,while fixed costs total $223,000.At what price must each pair of boots be sold for Western to obtain an EBIT of $1,391,500?

Correct Answer:

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94,000P - (0.35)(94,000)P - 22...

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