~ Make sure to answer every element being asked within each of the questions. Show all your computations in proper detail while working on
~ Make sure to answer every element being asked within each of the questions. Show all your computations in proper detail while working on the solutions. * Synergyica, Inc. is a manufacturer & marketer of gas lamps for utilization in mining & natural resources operations. Total industry sales in this relevant market were $100 Million, with Synergyica's market share representing 5%. Synergyica's contribution margin has steadily been 25%. Synergyica's salesforce calls on their widespread distributor network to generate revenue. These distributors in turn sell the products to the industrial customers. Distributors generate on average revenue of $10,000 per outlet for Synergyica. Each sales rep earns $50,000 per year. Synergyica has a corporate advertising & promotions campaign worth $640,000 which has managed to effectively maintain their brand awareness & image in the resources industry. (d). Synergyica is considering a 10% reduction in the price of its offerings. ~ What absolute increase in its sales revenue would be needed to maintain the present line contribution (i.e., the present level of total contribution dollars)?
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