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Harrow, Inc. is currently selling 153,000 units of its product at $18 per unit, with variable costs per unit at $9. Management has decided to
Harrow, Inc. is currently selling 153,000 units of its product at $18 per unit, with variable costs per unit at $9. Management has decided to institute a new advertising campaign that would cost $44,000. The company estimates that there will be a 7 percent increase in sales volume. With all else remaining the same, what will be the result of this decision?
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