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Shorter company had originally expected to a pering income of $10,000 whenever shorter's degree of leverage Act, shorter som endow spects to increase sales by

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Shorter company had originally expected to a pering income of $10,000 whenever shorter's degree of leverage Act, shorter som endow spects to increase sales by 20 year what percent change in conting income specie by Shorter now in the corner QUESTION 2 Shorter Company had originally expected to an operating income of $130,000 in the coming year. Shorter's degree of operating leveres 2. Recently, shorter revised its plans and now expects to increase sales by 20Next year. What is shorter's revised expected operating income now for the coming year? O A 200 O 000 OC 12.000 OD 130.000 62.00 QUESTIONS Pirm X and Firm Yare competitors within the same industry, Firm has an operating leverage of 2 while myths an operating leverage of projected for both are 15% less than in the prior year which statement regarding projected profits is true O AromX will love more profe than my O Firmy will lose more profitan Form OC Xandy will love the same amount of OD Neither um X normy wil loroft QUESTION 4 Biers company expects the following results for the next accounting period $240,000 135,000 Sales Revenue for sales volume of 3.000 units Variable costs for sales volume of 3,000 units Total fixed costs 40,000 The sales manager believes sales volume could be increased by 400 units to 3,400 units if fixed advertising expenditures were increased by $10,000 of advertising expenditures we increased by $10,000 and sales increase by 400 units, the effect on operating income will be ain) O A increase of 514,000 OB.increase of 522,000 o increase of $4.000 OD increase of $30,000 OC None of these

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