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2 . ( 2 5 Points ) Jane Company manufactures and sells tables. The company reported the following for the year. Investment $ 4 ,

2.(25 Points) Jane Company manufactures and sells tables. The company reported the following for the year.
Investment $4,000,000
Rate of Return on Investment 25%
Units Produced and Sold 2,000
Markup Percentage on Full Cost 20%
Variable Cost per Unit $300
Requirement 1: Compute the company's operating income for the year, full cost per unit, and selling price per unit.
Requirement 2: The company is considering increasing the annual advertising spending by $170,000. Management believes this should increase sales by 10%. Should the company make the investment? Computations should be shown.

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