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Question 16 (2 points) LPS Corporation's management has budgeted the following amounts for its next fiscal year: Total fixed expenses $420,000 Selling price per
Question 16 (2 points) LPS Corporation's management has budgeted the following amounts for its next fiscal year: Total fixed expenses $420,000 Selling price per unit Variable expenses per unit $45 $15 If LPS Corporation spends an additional $19,000 on advertising, sales volume should increase by 1500 units. What effect will this have on operating income? Increase of $45,000 Increase of $26,000 Decrease of $45,000 Decrease of $26,000
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