TARGET OPERATING INCOME.
Acme Medical Supply Company desires a target operating income amount of $100,000, with assumptions inputs as follows:
- Deisred (target) operating income amount = $100,000
- Unit Price for sales = $80
- Variable cost per unit = $60
- Total fixed cost = $60,000
Compute the required revenue to achieve the target operating income and compute a contribution income statement to prove the totals.