The following data are available for the Phelps Company for a recent month: Product A
Sales...................................
Variable expenses..............
Contribution margin...........
Fixed expenses...................
Net operating income......... $150,000 91,000 $ 59,000 Product B Product C $130,000 104,000 $ 26,000 $90,000 27,000 $63,000
Total $370,00 0 222,000 148,000 55,000 $ 93,000
The break-even sales for the month for the company are:
A) $91,667
B) $203,000
C) $148,000
D) $137,500