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Waterway and Pharoah sell their products for exactly the same sales price. Both have the same annual total costs. Waterway's variable and fixed costs at
Waterway and Pharoah sell their products for exactly the same sales price. Both have the same annual total costs. Waterway's variable and fixed costs at break-even total $76800 and $38400 respectively. Pharoah's variable and fixed costs at break-even total $38400 and $76800 respectively. Both companies have the same net income. If both companies experience an increase in sales, which company will have the higher net income? Pharoah. O More information is needed to determine the answer. O Both companies will report the same profits since total costs are the same. Waterway
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