Boxer Inc. expects its sales in June to be $111,000. The company's contribution margin ratio is 65% and its fixed monthly costs are $64,000.Required:Estimate the company's operating profit for June, assuming that the fixed monthly costs do not change.
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| Sales | $ | 111,000 | |
| CM ratio | 65 | % | |
| Contribution margin (sales × contribution margin ratio) | $ | 72,150 | |
| Fixed costs | 64,000 | ||
| Operating profit | $ | 8,150 |
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