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Management · Q344

Management Accounting

Graduate and Post Graduate · Management · question 344

Q344

If total production is 25000 units and target annual operating income is 300000 then target operating income per unit would be

A.
$15
B.
$12
Answer
C.
$16
D.
$18

Answer: Option B

Solution

Answer: Option B
Solution:
Target operating income = Target annual operating income ÷ Total production
= 12.
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