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4 6 7 Cost-Volume-Profit Applications Price 25 TFC = 9,000 VC/unit = 10 Current Sales - 800 units Ex1. Suppose the company can buy an

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4 6 7 Cost-Volume-Profit Applications Price 25 TFC = 9,000 VC/unit = 10 Current Sales - 800 units Ex1. Suppose the company can buy an ad in the Post Gazette for $5,000. This ad is expected to increase sales by 300 units. I Ex2. Suppose the company can buy higher quality materials, which will increase the DM cost per unit by $5. This increase in quality is also expected to increase sales to 1,300 units. 4 6 7 Cost-Volume-Profit Applications Price 25 TFC = 9,000 VC/unit = 10 Current Sales - 800 units Ex1. Suppose the company can buy an ad in the Post Gazette for $5,000. This ad is expected to increase sales by 300 units. I Ex2. Suppose the company can buy higher quality materials, which will increase the DM cost per unit by $5. This increase in quality is also expected to increase sales to 1,300 units

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