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1. Jumpman Corporation produces and sells a single product. The company has provided their income statement for the month of July: Sales ( 3,200 units)

1. Jumpman Corporation produces and sells a single product. The company has provided
their income statement for the month of July:
Sales ( 3,200 units) 238,080
Variable expense 145,920
Contribution Margin 92,160
Fixed expenses 74,400
Net Operating Income 17,760
1. If the company sells 4,000 units , its net operating income would be?
2. Which of the following would produce the largest increase in contribution margin?
a. 7% increase in selling price
b. 17% decrease in fixed cost
c. 15% decrease in selling price
d. 14% decrease in variable cost

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