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Required information The following information applies to the questions displayed below. Monterey Co. makes and sells a single product. The current selling price is $17

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Required information The following information applies to the questions displayed below. Monterey Co. makes and sells a single product. The current selling price is $17 per unit. Variable expenses are $10.2 per unit, and fixed expenses total $39,380 per month (Unless otherwise stated, consider each requirement separately.) f-1. Calculate the monthly operating income (or loss) that would result from a si per unit price increase and a $6,000 per month increase in advertising expenses, both relative to the original data. Assume a sales volume of 5.350 units per month (Do not round intermediate calculations.) f-2. Is the increase in advertising expense justified by the price increase? Yes No

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