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Accounts receivable (starting) Advertising Cost of good sold Depreciation expense Insurance Interest Inventory (starting) Labor expense Loan principal payments Management compensation Miscellaneous expense Owner's equity

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Accounts receivable (starting) Advertising Cost of good sold Depreciation expense Insurance Interest Inventory (starting) Labor expense Loan principal payments Management compensation Miscellaneous expense Owner's equity Purchases of inventory Receipts on accounts receivable Rent Sales (cash) Sales (credit) Utitilities \begin{tabular}{|l|l|} \hline Gross margin (percentage) & \\ \hline Net margin (percentage) & \\ \hline EBITDA & \\ \hline Total net cash flow & \\ \hline Ending inventory & \\ \hline Ending accounts receivable & \\ \hline If the company increased advertising by 5% and got a 1% increase in sales volume, what would be the expected net profit? & \\ \hline If the company reduced price by 5% and got a 10% increase in sales volume, what would be the expected net profit? \\ \hline \end{tabular}

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