SHARE is trying to determine how many clients must be serviced in order to cover its monthly service overhead. Using the high-low method, it has determined that the variable cost per client is $800 and that the monthly fixed overhead is $28,000. Assuming an average fee of $1,400 per client and a targeted profit of $26,000, the number of clients to be serviced is
A) 80 clients.
B) 120 clients.
C) 47 clients.
D) 90 clients.
Correct Answer:
Verified
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