Olympus Company sells 1,400 units per month at a price of $28.00 per unit. The variable cost is $22.50 per unit. Fixed costs are $6,900 per month. How much is the operating income?

Name: Olympus Company sells 1,400 units per month at a price of $28.00 per unit. The variable cost is $22.50 per unit. Fixed costs are $6,900 per month. How much is the operating income?
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Question

Quizplus · Accepted Answer

C) Calculations:
1,400 × ($28.00 - $22.50) = $7,700
$7,700 - $6,900 = $800

Olympus Company Sells 1,400 Units Per Month at a Price