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Craylon Manufacturing produces a single product that sells for $100. Variable costs per unit equal $35. The company expects total fixed costs to be $65,000

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Craylon Manufacturing produces a single product that sells for $100. Variable costs per unit equal $35. The company expects total fixed costs to be \$65,000 for the next month at the projected sales level of 1,500 units. In an attempt to improve performance, management is considering a number of atemative actions. Each saidition is to be evaluated separately. One alternative is to increase advertising expenses by $13,000. What is the effect on operating income with the increase of advertising expenses? A. Operating income will increase by $13,000 B. Operating income will decrease by $19,500. C. Operating income will decrease by $13,000. D. Operating income will increase by $19,500. Craylon Manufacturing produces a single product that sells for $100. Variable costs per unit equal $35. The company expects total fixed costs to be \$65,000 for the next month at the projected sales level of 1,500 units. In an attempt to improve performance, management is considering a number of atemative actions. Each saidition is to be evaluated separately. One alternative is to increase advertising expenses by $13,000. What is the effect on operating income with the increase of advertising expenses? A. Operating income will increase by $13,000 B. Operating income will decrease by $19,500. C. Operating income will decrease by $13,000. D. Operating income will increase by $19,500

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