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Hydra Company has two locations, downtown and at a surburban mall. During March,

ID: 2696486 • Letter: H

Question

Hydra Company has two locations, downtown and at a surburban mall. During March, the company reported total net income of $337,000 and sales of $1.2 million. The contribution margin in the downtown store was $320,000 (40% of sales). The contribution margin in the mall store is $200,000. Total fixed costs are $90,000 in the downtown store and $93,000 in the mall location. How much are sales at the mall. Show the work.

A. $400,000

B. $800,000

C. $666,667

D. Not enough information is provided to answer.

Explanation / Answer

sry the right answer is A. $400,000

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