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    Hadley Company

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    The following information describes a product expected to be produced and sold by Hadley Company:

    Required:
    (a) Calculate the contribution margin ratio.
    (b) Calculate the break-even point in dollar sales.
    (c) What dollar amount of sales would be necessary to achieve a pretax income of $120,000?

    © BrainMass Inc. brainmass.com June 3, 2020, 8:38 pm ad1c9bdddf
    https://brainmass.com/business/accounting/hadley-company-146917

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    The following information describes a product expected to be produced and sold by Hadley Company:

    Required:
    (a) Calculate the contribution margin ratio.
    (b) ...

    Solution Summary

    This solution is comprised of a detailed calculation to find contribution margin ratio, the break-even point in dollar sales, and what dollar amount of sales would be necessary to achieve a pretax income of $120,000.

    $2.19

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