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2. Shelhorse Corporation produces and sells a single product. Data concerning that product appear below: Per Unit $ 220 Selling price Variable expenses Contribution margin
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Shelhorse Corporation produces and sells a single product. Data concerning that product appear below: Per Unit $ 220 Selling price Variable expenses Contribution margin Percent of Sales 100% 30% 70% 66 $154 Fixed expenses are $362,000 per month. The company is currently selling 5,700 units per month. Required: The marketing manager believes that a $19,000 increase in the monthly advertising budget would result in a 130 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change? Change in net operating income Cubie Corporation has provided the following data concerning its only product: Selling price Current sales Break-even sales $ 106 per unit 11,000 units 9,240 units What is the margin of safety in dollars? Mcmurtry Corporation sells a product for $100 per unit. The product's current sales are 12,100 units and its break-even sales are 10,406 units. The margin of safety as a percentage of sales is closest to: Data concerning Bedwell Enterprises Corporation's single product appear below: Selling price per unit Variable expenses per unit Fixed expense per month $ 205.00 $ 96.00 $ 443, 440 The unit sales to attain the company's monthly target profit of $28,000 is closest to: (Do not round intermediate calculations.)Step by Step Solution
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