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Question - Tory Company sells a single product. Troy estimates demand and costs at various activity levels as follows:
Units Sold
Price
Total Variable Costs
Fixed Costs
120,000
$48
$3,000,000
$1,000,000
142,000
$45
$3,530,000
160,000
$40
$4,000,000
180,000
$35
$4,500,000
200,000
$30
$5,000,000
Required - How much profit will Troy have if a price of $45 is charged?
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