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A small appliance outlet is considering adding audio equipment to the sales line. Each addition...

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Accounting

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A small appliance outlet is considering adding audio equipment to the sales line. Each addition to the line is to be cost-justified. The costs associated with one of the items under consideration, a compact disc player, are as follows: Management requires an annual, before-tax profit of $30,000 for compact disc players. Assuming a contribution margin ratio of 0.1 for the compact disc player, what amount of sales would be required to attain that level of profit? $450,000$150,000$300,000$750,000 none of these

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