Corrientes Company produces a single product in its Buenos Aires plant that currently sells for 6.90 p per unit. Fixed costs are expected to amount to 55,000 p for the year, and all variable manufacturing and administrative costs are expected to be incurred at a rate of2.80 p per unit. Corrientes has two salespeople who are paid strictly on a commission basis. Their commission is 8 percent of the sales revenue they generate. (Ignore income taxes.) (p denotes the peso, Argentina's national currency. Many countries use the peso as their national currency. On the day this exercise was written, Argentina's peso was worth $0.104 U.S. dollar.)

Exercise 15-32 Part 1

Required: 1. Suppose management alters its current plans by spending an additional amount of 4,800 p on advertising and increases the selling price to 7.90 p per unit. Calculate the profit on 63,000 units. (Do not round intermediate calculations. Enter your answer in pesos.)