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maksim [4K]
3 years ago
11

After conducting a market research study, Magnificent Manufacturing decided to produce a new interior door to complement its ext

erior door line. It is estimated that the new interior door can be sold at a target price of $270. The annual target sales volume for interior doors is 29,000. Magnificent has target operating income of 40% of sales
Business
1 answer:
marta [7]3 years ago
6 0

Answer:

Target sales revenue = $7,830,000

Explanation:

given data

target price = $270

annual target sales volume = 29,000

target operating income = 40%

to find out

Target sales revenue

solution

we will get here Target sales revenue that is express as

Target sales revenue =  target price × annual target sales volume   .................1

put here value we get

Target sales revenue = $270 × 29000

Target sales revenue = $7,830,000

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