Question: ( * * The answer is not 1 3 5 , 5 0 0 . I have submitted this on chegg once already and their

(**The answer is not 135,500. I have submitted this on chegg once already and their answer was wrong**)
Ignoring your answer to above part, assume that fixed manufacturing overhead was $100,000 and the fixed selling and
administrative expenses were $84,000. The marketing vice president feels that if the company increased its adverting, sales
could be increased by 21%. What is the maximum increased advertising cost the company can incur and still report the same
income as before the advertising expenditure, assuming that the contribution margin ratio remains unchanged?
 (**The answer is not 135,500. I have submitted this on chegg

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