Question: Exercise 18-14 Predicting sales and variable costs using contribution margin LO C2 Bloom Company management predicts that it will incur fixed costs of $251,000 and

Exercise 18-14 Predicting sales and variable costs using contribution margin LO

Exercise 18-14 Predicting sales and variable costs using contribution margin LO C2 Bloom Company management predicts that it will incur fixed costs of $251,000 and earn pretax income of $365,100 in the next period. Its expected contribution margin ratio is 61%. 1. Compute the amount of total dollar sales. Dollar Sales Choose Denominator: Choose Numerator: = Total Dollar Sales Total dollar sales 2. Compute the amount of total variable costs. Sales Fixed costs Pretax income Variable costs

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