question 1

Double Boe, the manager of the Yuppy Puppy, was reviewing the water bills of a dog daycare and spa. He determined that its highest and lowest bills of $3,600 and $2,800 were incurred in the months of May and October, respectively. If 500 dogs were groomed in May and 300 dogs were groomed in October, what should Double Boe expect the water bill to be in November when the Yuppy Puppy expects to groom 450 dogs?

question 2

Double Boe Ltd produces a single product - magical never-ending bog bones - and reports the following data:

Selling price per magical bone	$ 10.00
Variable cost per magical bone	$ 8.00
Fixed costs in TOTAL	$50,000
Current level of sales (in units)	30,000 units

Double Boe's marketing department believes that sales would increase to 38,000 units if Double Boe reduces its sales price to $9.75 per unit and they increase advertising by $2,000.

Double Boe's should follow marketing's suggestion and net income will increase by $4,500.

Group of answer choices

True

False