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Find what is the total operating income

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Reference no: EM132625091

Tany Corporation is a small table manufacturing company operating in the north of Puerto Rico.

Managers estimate the following costs per unit (one table)

Direct material (DM). $6.00

Direct labor (DL). $4.00

Variable manufacturing overhead (VMO). $3.00

Variable administrative expenses (VAE). $1.00

The estimated contribution margin is. 30%

Monthly fixed costs are

Manufacturing $10,000.00

Administrative $5,000.00

Problem 1: Total unit sold during last month is 2525, what is the total operating income.

Option a. between $100 and $120 ESTA NO

Option b. between $120 and $140

Option c. between $140 and $160

Option d. between $160 and $180

Reference no: EM132625091

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