(Answered) Question - abc company reported the following information

Accounting

Question - ABC Company reported the following information for 2019:

Sales - 14,000 units

Margin - 25%

Variable cost per unit - $8.80

Average operating assets - $550,000

Return on investment - 14%

Minimum required rate of return - 9%

Management of ABC Company is beginning to budget for 2020 and would like answers to some what-if scenarios.

Calculate the net operating income ABC Company needed to earn in 2019 in order for its turnover to be equal to 1.54.

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