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March 25, 2017

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Cournot Company sells 100,000 wrenches for
$12 a unit. Fixed costs are $300,000, and net income
is $200,000. What should be reported as
variable expenses in the CVP income statement?
(a) $700,000. (c) $500,000.
(b) $900,000. (d) $1,000,000.

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