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Exercise 19 05 Carey Company had sales in 2019 of 61,831,200 on 65,400 units. Variable costs totaled $1,046,400, and fixed costs totaled $450,000 A new

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Exercise 19 05 Carey Company had sales in 2019 of 61,831,200 on 65,400 units. Variable costs totaled $1,046,400, and fixed costs totaled $450,000 A new raw material is available that will decrease the variable costs per unit by 20% (or $3.20). However to process the new raw material, Ficed operating costs will increase by $96,000. Management feels that one half of the decine in the variable costs per unit should be passed on to customers in the form of a sales price reduction. The marketing department expects that this sales price reduction will result in a 5% increase in the number of units sold. (a) Prepare a projected CVP income statement for 2020, assuming the changes have not been made. CAREY COMPANY CVP Income Statement Total Per Unit $ (6) Prepare a projected CVP income statement for 2020, assuming that changes are made as descnbed. (Hound per unit cost to decinal places, .. 5.25 and all other arto de places, e.g. 1,235) CAREY COMPANY CVP Income Statement Total Per Unit Click if you would like to show Work for this questions on Show. Wie

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