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Discuss how much do they have increase their sales revenue

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Reference no: EM131804797

The CEO of company A has provided you with the following information for its operation for 2013: Sales revenue $200 Cost of goods sold 120 Contribution margin 100 Fixed cost 60 Variable selling expenses 20 The tax rate is 25%. If they want to increase the after tax income for 2014 by $18, by how much do they have to increase their sales revenue? Assuming that everything else remain constant Note: the correct answer is $48 I just need to know the steps to get there

Reference no: EM131804797

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