Answer:
Sales= $93,000
Explanation:
Giving the following information:
Contribution margin ratio= 0.30
Profit= $12,300
Fixed costs= $15,600
First, we need to determine the total contribution margin:
Total contribution margin= 12,300 + 15,600
Total contribtuion margin= $27,900
Now, to calculate the sales revenue, we need to use the following formula:
Sales= total contribution margin / Contribution margin ratio
Sales= 27,900/0.3
Sales= $93,000
