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What company must reduce the current level of fixed costs

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Problem 1: Medford sells muffler bearings. Medford's sales price per unit is $150, and its variable cost per unit is $50. The company's fixed costs currently total $800,000. The company anticipates that it will sell 25,000 units in the upcoming period. The company must reduce the current level of fixed costs (FC) by $______________ to achieve a target operating income of $1.9 million.

Reference no: EM132756048

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