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19) Kuzio Corporation produces and sells a single product. Data concerning that product appear below: Per Unit S 140 Percent of Sales Selling price Variable
19) Kuzio Corporation produces and sells a single product. Data concerning that product appear below: Per Unit S 140 Percent of Sales Selling price Variable expenses Contribution margin 100 % 60% 40% 84 S 56 The company is currently selling 5300 units per month. Fixed expenses are $185,000 per month. The marketing manager believes that a S5300 increase in the monthly advertising budget would result in a 200 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change'? A) decrease of $5300 C) increase of $11,200 B) decrease of $5900 D) increase of $5900
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