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A manufacturer of tiling grout has supplied the following data: Kilog produced and sold Sales iucnue Variable manufacturing expense Fixed manufacturing expense Variable selling and
A manufacturer of tiling grout has supplied the following data: Kilog produced and sold Sales iucnue Variable manufacturing expense Fixed manufacturing expense Variable selling and administrative expense Fixed selling and administrative expense Net operating income 380,000 $1,870,000 $952.000 $250,000 $331,000 $216,000 $121,000 The company's contribution margin ratio is closest to 075.1% 82.3% 31.4% 49.1% Larita Corporation produces and sells a single product. Data concerning that product appear below: Sellir rice Vari xpenses Per Unit $150 60 Percent of Sales 100% 40% Contribution margin $ 90 60% Fixed expenses are $355,000 per month. The company is currently selling 5,000 units per month. The marketing manager believes that a $12,000 increase in the monthly advertising budget would result in a 160 unit increase in monthly sales. Required: What should be the overall effect on the company's monthly net operating income of this change? (Negative amount should be indicated by a minus sign.) Change in net operating income
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