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Tara produces color cartridges for inkjet printers. Suppose cartridges are sold to mail-order distributors for $12 each and that manufacturing and other costs are as

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Tara produces color cartridges for inkjet printers. Suppose cartridges are sold to mail-order distributors for $12 each and that manufacturing and other costs are as follows: Variable Cost Fixed Cost per Month per Unit $17,000 8,000 Direct material $4.00 Factory overhead Direct labor 0.40 Selling and administrative overhead 0.50 Factory overhead Distribution 0.10 Total $5.00 Total $25,000 The le distribution contre for transportation to mailorder tributors Assume the current monthly production and sales volume is 20.000 and monthly coacy 125.000 units If the sales price per unit increases by 52.00 and unit sales decrease by 2,000 units, Tara's monthly profit would: Select one O Norage Osby 536.000 Odby 122.000

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