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Alvarez Company is considering the following alternatives: Alternative A Revenues $ 5 0 , 0 0 0 Variable cost 3 0 , 0 0 0

Alvarez Company is considering the following alternatives:
Alternative A
Revenues $50,000
Variable cost 30,000
Fixed costs 10,000
Alternative B
Revenues $60,000
Variable costs 30,000
Fixed costs 16,000
What is the incremental profit?

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