Question: Need help on this question! Data concerning Bazin Corporation's single product appear below. Selling price Variable expenses Contribution margin Per Unit $100 20 $ 80
Data concerning Bazin Corporation's single product appear below. Selling price Variable expenses Contribution margin Per Unit $100 20 $ 80 Percent of Sales 100% 20% 80% Fixed expenses are $384.000 per month. The company is currently selling 6,000 units per month. The marketing manager would like to introduce sites commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $9 per unit in exchange, the sales staff would accepta decrease in their salaries of $46,000 per month (This is the company's savings for the entire sales statt) The marketing manager predicts that introducing this sales incentive would increase monthly sales by 500 units. What should be the overall effect on the company's monthly net operating income of this change
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