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AC34840 company produces and sells a product with the following characteristics: Selling price Variable expenses Contribution margin Per Unit $ 236 52 $ 184 The

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AC34840 company produces and sells a product with the following characteristics: Selling price Variable expenses Contribution margin Per Unit $ 236 52 $ 184 The AC34840 company is currently selling 7.600 units per month. Fixed expenses are $884,000 per month. The sales manager would like to introduce commissions as an incentive for the sales staff. The sales manager has proposed a commission of $26 per unit. In exchange the sales staff would accept a decrease in their salaries of $54.000 per month (This is the company's savings for the entire sales staff) The manager predicts that introducing this sales incentive would increase monthly unit sales by 20% What would be the overall effect on AC 34840 company's monthly net operating income of this change? Multiple Choice increase of $96,560 Multiple Choice increase of $96,560 Increase of $88,800 increase of $117,528 Increase of $110.232

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