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The sales manager of ABC Corp is proposing to reduce the unit selling price to $27 and increase the advertising flyers cost by $35,000. He
The sales manager of ABC Corp is proposing to reduce the unit selling price to $27 and increase the advertising flyers cost by $35,000. He feels if the company can combine these two together, the sales volume will be increased by 20% which means the company will make profit. Do you agree? OA. Yes, I agree with it since the net income increases by $4,000 B. No, I don't agree with it since the net income decreases by $4,000 O C. Yes, I agree with it since the net income increases by $40,000 O D. No, I don't agree with it since the net income decreases by $44,000 If the CM to 65% and total sales will be increased by $20,000.fw cost 5.000, how much is the increase in Income? DA 7500 DB 10.000 C 13.000 0.4.500
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