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What is the target operating income

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Question - Sales of Blair Inc. have been on a steady decline for the last 12 months. A market research study conducted revealed that the product of Blair Inc. can be sold only for $470 as opposed to the current market price charged of $570 per unit. Blair Inc. has decided to revise its sales price to $470. The annual sales target volume of the product after price revision is 250 units. Blair Inc. wants to earn 40% on its sales amount. What is the target operating income?

Reference no: EM133095718

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