Question
Here's the income statement from a small company for Q2 2022 (values in dollars): Q2 2022 Q2 2021 Revenue $699,321 $612,863 Operating expenses: -Production $69,259
Here's the income statement from a small company for Q2 2022 (values in dollars):
Q2 2022 | Q2 2021 | |
Revenue | $699,321 | $612,863 |
Operating expenses: | ||
-Production | $69,259 | $52,121 |
-Sales & marketing | $99,407 | $66,744 |
-Development | $85,745 | $61,422 |
-General & administrative | $82,335 | $80,110 |
Suppose this is the unaudited income statement. Later, the audited income statement indicates that production expenses were actually 15 percent larger in Q2 2022 than originally reported. No other estimates changed. By how much, in thousands of dollars, would operating income fall in Q2 2022 as a result of this revision? Please round your answer to the nearest dollar (no decimal). Also, since I've specified it's a fall in operating income, you can skip putting in the negative sign here.
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