Determine the target sales revenues, Managerial Accounting

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Determine the target sales revenues

Question 1: Potter Products has produced an electric coffee pot to complement its range of kitchen products. The new coffee pot can be sold at a target price of $46, and annual target sales volume for the coffee pot is 250 000. Potter has target operating profit of 20% of sales. Determine the target sales revenues.

a. $12 000 000
b. $1 200 000
c. $1 150 000
d. $11 500 000

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Managerial Accounting: Determine the target sales revenues

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Managerial Accounting: Determine the target sales revenues

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