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ABC Company estimates the following data for the coming month
Total variable costs $ 35,000.00
Income tax rate 25%
Contribution margin percentage 40%
Estimated monthly operating fixed costs $16,000.00
Required minimum net income as percentage of total sales 10%
Problem 1: Find the estimated operating income for the coming month.
Option 1: $1,500.00
Option 2: $2,500.00
Option 3: $4,500.00
Option 4: $7,333.33
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