Smoothit Inc is facing a problem with their 4th quarter earnings on December 25. Their earnings target is $2,500,000 and the data so far is as follows: Sales Revenue Variable COGS Fixed OH Fixed S&A Variable S&A $25,000,000 ($500/unit) $10,000,000 ($200/unit) $10,000,000 $ 2,000,000 5% Commission on Sales Smoothit has had a policy of having zero inventories at the

Sep 8, 2023

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Smoothit Inc is facing a problem with their 4th quarter earnings on December 25. Their earnings target is $2,500,000 and the data so far is as follows: Sales Revenue Variable COGS Fixed OH Fixed S&A Variable S&A $25,000,000 ($500/unit) $10,000,000 ($200/unit) $10,000,000 $ 2,000,000 5% Commission on Sales Smoothit has had a policy of having zero inventories at the
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