Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For...
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Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (11,600 units at $225 each) Variable costs (11,600 units at $180 each) Contribution margin rixed costs $ 2,610,000 2,088,000 522,000 315,000 $ 207,000 Income 1. Assume Hudson has a target income of $150,000. What amount of sales (in dollars) is needed to produce this target income? 2. If Hudson achieves its target income, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.) 1. Dollar sales for target income 2. Margin of safety 32.3% Hudson Company reports the following contribution margin income statement. HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (11,600 units at $225 each) Variable costs (11,600 units at $180 each) Contribution margin rixed costs $ 2,610,000 2,088,000 522,000 315,000 $ 207,000 Income 1. Assume Hudson has a target income of $150,000. What amount of sales (in dollars) is needed to produce this target income? 2. If Hudson achieves its target income, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.) 1. Dollar sales for target income 2. Margin of safety 32.3%
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