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Carla Vista Orthotics Company distributes a specialized ankle support that sells for $40. The company's variable costs are $30 per unit; fixed costs total $350,000

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Carla Vista Orthotics Company distributes a specialized ankle support that sells for $40. The company's variable costs are $30 per unit; fixed costs total $350,000 each year. (b) Last year, Carla Vista sold 38,000 ankle supports. The company's marketing manager is convinced that a 10% reduction in the sales price, combined with a $51,000 increase in advertising. will result in a 40% increase in sales volume over last year: Compute the projected income. (Enter negative amounts using either a negative sign preceding the number es. -45 or parentheses es. (45).) Projected income $ Should Carla Vista implement the price reduction? Carla vista implement the price reduction because the estimated operating income is than the 6

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