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12 After conducting a phone survey, Bad Backs Manufacturing decided to...

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Accounting

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After conducting a phone survey, Bad Backs Manufacturing decided to produce a new computer backpack to complement is backpack line. It is estimated that the new computer backpack can be sold at a target price of $80. The annual target sales volume for computer backpacks is 18,000. Bad Backs has target operating income of 25% of sales What is the target cost? O A $1,600,000 OB $900,000 OC. $1440,000 OD. $800.000 OE $1,080,000

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