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Olgivie Company had a bad year in 2016. For the first time in its history, it operated at a loss. The company's income statement showed

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Olgivie Company had a bad year in 2016. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 60,000 units of product: sales $1,800,000; total costs and expenses $2,010,000; and net loss $210,000. Costs and expenses consisted of the amounts shown below. Management is considering the following independent alternatives for 2017 Increase unit selling price 25% with no change in costs, expenses, and sales volume. Change the compensation of salespersons from fixed annual salaries totaling $200,000 to total salaries of $20,000 plus a 5% commission on net sales

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