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make7upurs make7upurs
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2 months ago
If an organization wants to make a profit, it must generate more sales revenue than the total costs it incurs. This relation can be expressed using which of the following profit equations?

▸ Operating income = Sales revenue - Total variable costs - Discretionary costs

▸ Operating income = Sales revenue - Committed costs - Fixed costs

▸ Operating income = [Sales price per unit - Fixed cost per unit) × # units produced] - Variable cost

▸ Operating income = [(Sales price per unit - Variable cost per unit) × # units sold] - Fixed cost
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Managerial Accounting

Managerial Accounting


Edition: 4th
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melryandionmelryandion
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Operating income = [(Sales price per unit - Variable cost per unit) × # units sold] - Fixed cost
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