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Data concerning Phung Corporation's single product appear below: sales per unit 230 variable expense per unit 92 Fixed expenses are $991,000 per month. The company
Data concerning Phung Corporation's single product appear below:
sales per unit 230
variable expense per unit 92
Fixed expenses are $991,000 per month. The company is currently selling 8,000 units per month.
Required:
The marketing manager believes that a $23,000 increase in the monthly advertising budget would result in a 190 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change
-5520
3220
none of the above
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