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Kuzio Corporation produces and sells a single product. Data concerning that product appear below Percent of Per Unit Sales Selling price Variable expenses Contribution margin
Kuzio Corporation produces and sells a single product. Data concerning that product appear below Percent of Per Unit Sales Selling price Variable expenses Contribution margin $140 100% 70 50% $ 70 50% The company is currently selling 5,500 units per month. Fixed expenses are manager believes that a $5,900 increase in the monthly advertising budget would result in a 100 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change? $218,000 per month. The marketing increase of $1,100 increase of $7,000 decrease of $5.900 decrease of $1,100
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