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Posters.com is a small Internet retailer of high-quality posters The company has $1000000 in operating assets and fixed expenses of $ 150000 per year With this level of operating assets and fixed

Posters.com is a small Internet retailer of high-quality posters. The company has $1,000,000 in operating assets and fixed expenses of $ 150,000 per year. With this level of operating assets and fixed expenses, the company can support sales of up to $ 3,000,000 per year. The company’s contribution margin ratio is 25%, which means that an additional dollar of sales results in additional contribution margin, and net operating income, of 25 cents.

Jun 24 2020 View more View Less

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