Explore BrainMass

Pre-tax profits from sales

Southwest U's Campus Book Store sells course packs for $15 each, the variable cost per pack is $9, fixed costs to produce the packs are $200,000, and expected annual sales are 49,000 packs. What are the pre-tax profits from sales of course packs?
a. $108,100
b. $94,000
c. $109,040
d. $81,780
e. $98,700

© BrainMass Inc. brainmass.com July 21, 2018, 5:33 pm ad1c9bdddf

Solution Summary

The solution explains how to calculate the pre-tax profits from sales.