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Q6.(10point) Hare Corporation has collected the following information after its first year: Company B Sales (50.000 units) $1,000,000 $1,500,000 $2.000.000 Cost of goods sold(40% variable,

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Q6.(10point) Hare Corporation has collected the following information after its first year: Company B Sales (50.000 units) $1,000,000 $1,500,000 $2.000.000 Cost of goods sold(40% variable, 60% fixed) $600,000 $800,000 $1,200,000 Gross profit $400,000 $700,000 $800,000 Operating expenses(60% variable, 40% fixed) $300,000 $400,000 $500,000 Net income $100,000 $300,000 $300,000 Instructions: Management is considering the following alternative for 2020: Decrease unit selling price 10% which increases demand 20% Compute the effect of management's alternative Sh net profit

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