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31) Buffo Company fabricates metal folding chairs. Data concerning the company's revenue and cost structure follow: Selling price per unit Manufacturing cost Administrative expense
31) Buffo Company fabricates metal folding chairs. Data concerning the company's revenue and cost structure follow: Selling price per unit Manufacturing cost Administrative expense Sales commissions Advertising expense $35 $4,000 per month plus $17 per unit $2,500 per month plus $2.50 per unit 15% of sales $2,000 per month If Buffo expects to produce and sell 5,000 units next month, the expected net operating income would be: A. $51,250. C. $71,000. B. $42,750. D. $62,500.
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