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'The following information is available for the ABC Company. ABC Company Contribution Margin Income Statement Revenues $2,950,000 Variable Costs DM $700,000 DL $450,000 MOH $250,000

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'The following information is available for the ABC Company. ABC Company Contribution Margin Income Statement Revenues $2,950,000 Variable Costs DM $700,000 DL $450,000 MOH $250,000 Selling and Admin $50,000 Total Variable Costs $1,450,000 Contribution Margin $1,500,000 Fixed Costs MOH $270,000 Selling & Admin. $85,000 Total Fixed Costs $355,000 Division Operating Income $145,000 Answer the following questions and provide supporting computations Questions 1, 2 or 3 are not related. Answer text boxes will automatically expand. Question 1: If sales commissions were increased by 20% resulting in a 5% increase in sales, what would be the impact on net income? (10 points) Question 2: If an additional $150,000 was spent on marketing the new product line resulting in a sales increase of 4%, what would be the impact on net income? (10 points) Question 3: What volume of sales (dollars) would have to be achieved to earn vision Operating Inc of $200,000 (10 points)

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