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A firm thinks its consumer promotion expenditures are too high and wants to cut $500,000 from promotional spending. Management estimates it will lose 10,000 units

A firm thinks its consumer promotion expenditures are too high and wants to cut $500,000 from promotional spending. Management estimates it will lose 10,000 units in sales if it does. If gross profit is $40 per unit, what is the expected profit (loss)?

A. $100,000 profit

B. ($100,000) loss

C. $400,000 profit

D. ($400,000) loss

E. $500,000 profit

F. ($500,000) loss

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