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The BZ-44549 company charges a price of $234 per unit of its product. The company's variable cost per unit is $51. The BZ-44549 company
The BZ-44549 company charges a price of $234 per unit of its product. The company's variable cost per unit is $51. The BZ-44549 company on average sells 7,400 units per month. Fixed expenses are $886,000 per month. The company considers cutting the selling price by $25 and increasing its advertising budget by $51,000 per month. The company predicts monthly sales quantity to increase by 18%. What is the overall effect on the BZ-44549 company's monthly net operating income of these changes? (Note: A POSITIVE number indicates an INCREASE in net operating income, and a NEGATIVE number indicates a DECREASE in net operating income) Multiple Choice -25,544 dollars -11,440 dollars
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