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Company XYZ is currently operating with a 40% contribution margin. The company is planning an upgrade in its production facilities, which is expected to
Company XYZ is currently operating with a 40% contribution margin. The company is planning an upgrade in its production facilities, which is expected to increase sales by $10,000. However, this upgrade is expected to increase fond costs of $2.500. What would be the expected change in profit? Oa Increase by $12,500 O b. Increase by $1,500 Oc. Decrease by $2,500 Od Increase by $10,000 Oe Decrease by $4,000
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