Question: Last year Baker-Huggy Inc. had fixed costs of $170000 and net operating income of $30000. If sales increase by 18 percent, by how much will

Last year Baker-Huggy Inc. had fixed costs of $170000 and net operating income of $30000. If sales increase by 18 percent, by how much will the firm's NOI increase? What would happen to the firm's NOI if sales decreased by 22 percent?

If sales increase by 18%, the change in the firm's NOI will be (a decrease or increase) of ______%.

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