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Currently a company is selling 8,000 units per month for $100 per unit. Fixed costs are $180,000 and their contribution margin is 30%. The sales
Currently a company is selling 8,000 units per month for $100 per unit. Fixed costs are $180,000 and their contribution margin is 30%. The sales manager is convinced that a 10% reduction in the selling price would result in a 25% increase in monthly sales volume. How many units would have to be sold at this new selling price to generate an operating income of $15,000 per month
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