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QUESTION 56 Jetson's Dynamics makes scooters. The company has three models of scooters, the Astro, the Elroy and the Rosie. The controller has prepared the

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QUESTION 56 Jetson's Dynamics makes scooters. The company has three models of scooters, the Astro, the Elroy and the Rosie. The controller has prepared the following estimates for next year. (All projections are on a pe scooter basis). Astro Elroy Rosie Selling Price $150 $200 $300 180 Variable Costs 200 Sales Mix 50% 40% 10% Estimated Sales are $ 60,000,000 Estimated fixed costs are $ 18,000,000. Go back to the information above. (Remember the information before question 53 is relevant also). What will be the effect on profits if Jetson spends an additional $20,000 on advertising and the sales of Elroy increases 5,000 scooters, but the sales of Rosie decreases by 1,000 units? C A. Profits will decrease by $220,000 C B. Profits will increase by $ 480,000 C CProfits will increase by $360,000 C D. Profits will decrease by $360,000 C E. none of the listed choices

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