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c Alternative 3: The company is considering raising the selling pnce to $89 but believes volume would drop by 10% as a result. Use parentheses
c Alternative 3: The company is considering raising the selling pnce to $89 but believes volume would drop by 10% as a result. Use parentheses or a minus sign for an operating loss. Informal Seating Company Contribution Margin Income Statement Sales revenue Variable expenses Cost of goods sold Operating expenses Contribution margin Fixed expenses Operating income (loss) d Alternative 4: The company would like to source the product from domestic suppliers who charge $9 more or each unit Management believes that the Made in the USA label would increase sales volume by 16% and would allow the company to increase the sales price by $13 per unit In addition, the company would have to spend an additional S5,500 in marketing costs to get the word out to potential customers of this change. (Use parentheses or a minus sign for an operating loss.) Informal Seating Company Contribution Margin Income Statement Sales revenue Variable expenses: Cost of goods sold Operating expenses Contribution margin Fixed expenses Operating income (loss) c Alternative 3: The company is considering raising the selling pnce to $89 but believes volume would drop by 10% as a result. Use parentheses or a minus sign for an operating loss. Informal Seating Company Contribution Margin Income Statement Sales revenue Variable expenses Cost of goods sold Operating expenses Contribution margin Fixed expenses Operating income (loss) d Alternative 4: The company would like to source the product from domestic suppliers who charge $9 more or each unit Management believes that the Made in the USA label would increase sales volume by 16% and would allow the company to increase the sales price by $13 per unit In addition, the company would have to spend an additional S5,500 in marketing costs to get the word out to potential customers of this change. (Use parentheses or a minus sign for an operating loss.) Informal Seating Company Contribution Margin Income Statement Sales revenue Variable expenses: Cost of goods sold Operating expenses Contribution margin Fixed expenses Operating income (loss)
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