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Brahma Industries sells vinyl replacement windows to home improvement retailers nationwide. The national sales manager believes that if they invest an additional $25,000 in advertising,
Brahma Industries sells vinyl replacement windows to home improvement retailers nationwide. The national sales manager believes that if they invest an additional $25,000 in advertising, they would increase sales volume by 11,000 units.
Sales (6,300 units at $115) | $724,500 |
Variable Costs (6,300 units at $69) | 434,700 |
Contribution Margin | $289,800 |
Fixed Cost | 19,500 |
Net Income (Loss) | $270,300 |
Prepare a forecasted contribution margin income statement for Brahma if they incur the additional advertising costs, using the above information.
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$fill in the blank 6 | |
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$fill in the blank 10 |
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