Bong-A, Inc. sells a single product. The company's 2017 income statement is given below Sales Less: Flexible (variable) expenses Less: Capacity-related (fixed) expenses P800,000 200,000 300,000 In an attempt to improve performance, management is considering a number of alternative actions. Each situation is to be evaluated separately. Calculate operating income and the Management believes that a P100,000 increase in equipment improvements will result in a considerable increase in sales. How much must sales increase to justify this additional capital expenditure? Assume management believes that flexible management wants to reduce the selling price by 2% and expects this reduction will result in a 5% increase in sales. What are projected profits if these proposals are implemented? a. b. breakeven pont tor costs can be decreased by 10 %. As a result, c