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Adria Lopez believes that sales will increase each month for the next three months (April, 48 desks, 32 chair; May, 52 desks, 35 chairs; June,

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Adria Lopez believes that sales will increase each month for the next three months (April, 48 desks, 32 chair; May, 52 desks, 35 chairs; June, 56 desks, chairs) if selling price are reduced to $1, 150 far desks and $455 for chairs, and advertising expenses are increased by 10% and remain at that level lot all three months The products' variable cost will remain at $750 for desks and $250 for chairs. The sales staff will continue to earn a 10% commission, the fixed manufacturing costs per month will remain at $10,000 and other fixed expenses will remain at $6,000 per month. Prepare budgeted income Male menu for each of the months of April, May, and June that show the expected results from implementing the proposed changes. Use a three - column formal, with one column for each month. Use the budgeted income statements from part 1 to recommend whether Adria Lopaz should implement the proposed changes. Explain

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