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11 2. The sales manager feels that an $24,000 increase in the monthly advertising budget, combined with an intensified effort by the sales staff,
11 2. The sales manager feels that an $24,000 increase in the monthly advertising budget, combined with an intensified effort by the sales staff, will result in a $150,000 increase in monthly sales. If the sales manager is right, what will be the effect on the company's monthly net operating income or loss? (Use the incremental approach in preparing your answer) 014530 eBook 3. Refer to the original data. The president is convinced that a 9% reduction in the selling price, combined with an increase of $75,000 in the monthly advertising budget, will double unit sales. Should the company make these changes? O Yes O No 4. Refer to the original data. The company's advertising agency thinks that a new package would help sales. The new package being proposed would increase packaging costs by $0.5 per unit. Assuming no other changes, how many units would have to be sold each) month to earn a profit of $6100? (Do not round intermediate calculations. Round your answer up to nearest whole number.) Unit sales to attan target prof units
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