Double Boe LTd produces a single product

Double Boe Ltd produces a single product - magical never-ending bog bones - and reports the following data: $ 10.00 $ 8.00 Selling price per magical bone Variable cost per magical bone Fixed costs in TOTAL Current level of sales (in units) $50,000 30,000 units Double Boe's marketing department believes that sales would increase to 38,000 units if Double Boe reduces its sales price to $9.75 per unit and they increase advertising by $2,000. Double Boe's should follow marketing's suggestion and net income will increase by $4,500 O True False