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Kuzio Corporation produces and sells a single product. Data concerning that product appear below. unit Selling price Variable expenses Contribution margin Per Unit $140 84

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Kuzio Corporation produces and sells a single product. Data concerning that product appear below. unit Selling price Variable expenses Contribution margin Per Unit $140 84 $ 56 Percent of Sales 100% 608 40% The company is currently selling 5,300 units per month. Fixed expenses are $185,000 per month. The marketing manager believes that a $5,300 increase in the monthly advertising budget would result in a 200 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change? Multiple Choice increase of $5,900 increase of $11.200 decrease of $5,300 12 of 15 Next >

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