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TB Problem Qu. 6-234 Data concerning Wislocki ... Data concerning Wislocki Corporation's single product appear below. Percent of Sales 1005 205 Per Unit $140 28
TB Problem Qu. 6-234 Data concerning Wislocki ... Data concerning Wislocki Corporation's single product appear below. Percent of Sales 1005 205 Per Unit $140 28 $112 Selling price Variable expenses Contribution margin 809 Fixed expenses are $1,055,000 per month. The company is currently selling 9,700 units per month Required: The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $10 per unit. In exchange, the sales staff would accept an overall decrease in their salaries of $101000 per month. The marketing manager predicts that introducing this sales incentive would increase monthly sales by 300 units. What should be the overall effect on the company's monthly net operating income of this change? Change in net operating income 100 TB Problem Qu. 6-239 Shelhorse Corporation produces and ... Shelhorse Corporauon produces and sells a single product. Data concerning that product appear below. Percent of Sales 1005 Per Unit $250 SO $200 Selling price Variable expenses Contribution margin 205 805 Fixed expenses are $365,000 per month. The company is currently selling 6,000 units per month Required: The marketing manager believes that a $22,000 increase in the monthly advertising budget would result in a 140 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change? Change in het operating income 4,175
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