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(22. Moorohead Manufacturing Company produces wo products for whi hsh00 per have been tabulated. Fixed manufacturing cost is applied at a ta sales manager has
(22. Moorohead Manufacturing Company produces wo products for whi hsh00 per have been tabulated. Fixed manufacturing cost is applied at a ta sales manager has had a $160 apply the money to the most profitable product. products wo products for which the data presented to the right 000 increase in the budget allotment for advertising and wants to eyes of the company's y's customersct. The products are not substitutes for one another in the Per Unit Selling price Variable manufacturing cost Fixed manufacturing cost Variable selling cost XY-7 BD-4 $4.00 $3.00 1.50 .75 20 1.00 1.00 2.00 suppose the sales manager chooses to devote the entire $160,000 to increased advertising for BD-4. The minimum increase in revenues of BD-4 required to offset the increased advertising would be A. $160,000 B. $320,000 C. $960,000 D. $1,600,000 E. None of the above
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