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The following information relates to the break-even point at Princeton Corporation: Sales dollars $120,000 Total fixed expenses $30,000 If Princeton wants to generate net operating

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The following information relates to the break-even point at Princeton Corporation: Sales dollars $120,000 Total fixed expenses $30,000 If Princeton wants to generate net operating income of $12,000, what will its sales dollars have to be? a. $132,000 b. $136,000 c. $168,000 d. $176,000 e. None of the above How much will a company's net operating income change if it undertakes an advertising campaign given the following data: Cost of advertising campaign $25,000 Variable expense as a percentage of sales 42% Increase in sales 60,000 a. $200 increase b. $9,800 increase c. $14,500 increase d. $25,200 increase e. $34,800 increase Bob is a quality inspector on the assembly line of a manufacturing company. He is paid $16 per hour for regular time and time and a half for all work in excess of 40 hours per week. He is classified as a direct labor worker. Bob works 48 hours in a given week but is idle for 4 hours during the week due to equipment breakdowns. The allocation of Bob's wages for the week between direct labor cost and manufacturing overhead cost would be: Direct Labor A) $640 B) $704 C) $768 D) $832 Manufacturing Overhead A) $192 B) $128 C) $64 D) $0

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