Hobby cat toy company has estimated the following amounts for its next fiscal year: if the company spends an additional $34,000 on advertising, sales volume would increase by 2,900 units. what effect will this decision have on the operating income?
total fixed expenses $833,500
sales price per unit 40
variable expenses per unit 25
a) operating income will decrease by $72,500 (b) operaing income will increase by 9,500 (c) operating income will increase by 116,000 (d) operating income will increase by $43,500
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Hobby cat toy company has estimated the following amounts for its next fiscal year: if the company...
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