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Siberian Ski Company recently expanded its manufacturing capacity to allow it to produce up to 15,000 pairs of cross-country skis of the mountaineering model or the touring model. The sales department assures management that it can sell between 9,000 pairs and 13,000 pairs (units) of either product this year. Because the models are very similar, Siberian Ski will produce only one of the two models. The information below was compiled by the accounting department. Fixed costs will total $369,600 if the mountaineering model is produced but will be only $316,800 if the touring model is produced. Siberian Ski is subject to a 40% income tax rate.The total sales revenue at which Siberian Ski Company would make the same profit or loss regardless of the ski model it decided to produce is The total sales revenue at which Siberian Ski Company would make the same profit or loss regardless of the ski model it decided to produce isA. $880,000 B. $422,400 C. $924,000 D. $686,400 |