What sales must freeman auto achieve to meet their


Freeman Auto wants to generate an operating profit of $200,000.00 to cover interest expense and meet a desired income target. The firm knows that depreciation will be $100,000.00 in the upcoming year. It also knows that Selling and Administrative expenses will total $150,000.00. Finally, cost of goods is historically 40.00% of sales.

What sales must Freeman Auto achieve to meet their operating profit goal?

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