What company must reduce current level of fixed costs

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Problem 1: Wilson sells industrial benders. Wilson's sales price per bender is $500, and its variable cost per bender is $300. The company's fixed costs currently total $900,000. Wilson expects to generate revenue of $4 million in the upcoming period. The company must reduce its current level of fixed costs (FC) by $______ in order to achieve a target operating income of $850,000.

Reference no: EM132756047

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