Question - Dorian Company produces and sells a single product. The product sells for $60 per unit and has a contribution margin ratio of 40%. The company's monthly fixed expenses are $28,800.
If Dorian Company desires a monthly operating income equal to 10% of sales, what will its monthly sales have to be?
a) $45,600.
b) $96,000.
c) $120,000.
d) $90,000.