Dunbar Manufacturing's variable costs are 60% of sales. The company is contemplating an advertising campaign that will cost $55,000. If sales are expected to increase $170,000, by how much will the company's net income increase? A. $47,000 B. $13,000 C. $69,000 D. $46,000 QUESTION 2 Which of the following is a variable cost? A. Direct materials B. Property taxes C. Depreciation D. Administrative salaries NF Toy Company is unsure of whether to sell its product assembled or unassembled. The unit cost of the unassembled product is $24 and NF Toy would sell it for $54. The cost to assemble the product is estimated at $15 per unit and the company believes the market would support a price of $81 on the assembled unit. What decision should NF Toy make? A. Sell before assembly, the company will be better off by $2 per unit. B. Process further, the company will be better off by $12 per unit. OC. Sell before assembly, the company will be better off by $8 per unit. D. Process further, the company will be better off by $27 per unit. QUESTION 4 For Sanborn Co., sales is $1,500,000, fixed expenses are $450,000, and the contribution margin per unit is $15. What is the break-even point A 70,000 units B. 30,000 units OC 100,000 units D. 15,000 units