Bumper earned net income of $72,000 and has fixed costs of $36,000. Bumper sold 11,000 units for

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Bumper earned net income of $72,000 and has fixed costs of $36,000. Bumper sold 11,000 units for $30 each and has a 40% contribution margin ratio.What were Bumper’s operating income and tax rate?

a.$96,000; 25%

b.$120,000; 40%

c.$270,000; 27%

d.$162,000; 45%

Related Book For answer-question

Horngrens Accounting

ISBN: 978-0133117417

10th edition

Authors: Tracie L. Miller-Nobles, Brenda L. Mattison, Ella Mae Matsumura

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Posted Date: Jan 13, 2021 06:51 AM

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Bumper earned net income of $72,000 and has fixed costs of $36,000. Bumper sold 11,000 units for

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Answer a96000 25 Solution Total revenue number of units sold price per unit 11000 units 30 330000 ... View the full answer

Horngrens Accounting

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