Question: Fixed expenses are $ 8 4 , 0 0 0 per month and the company is selling 2 , 6 0 0 units per month.
Fixed expenses are $ per month and the company is selling units per month.
Required:
a How much will net operating income increase decrease per month if the monthly advertising budget increases by $ the
monthly sales volume increases by units, and the total monthly sales increase by $
b Should the advertising budget be increased?
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How much will net operating income increase decrease per month if the monthly advertising budget increases by $
the monthly sales volume increases by units, and the total monthly sales increase by $Do not round
intermediate calculations.
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