+ The examples below will show us which combination of unit variable costs, fixed costs, and selling price, management is proposing, the nature of trade-offs facing management, and the effect of a proposed policy on the company's profits. Use the information in the chart below for Acoustic Concepts, Inc. in all of the examples. ACOUSTIC CONCEPTS, INC. Basic Data Sales (number of speakers per month) Selling price per speaker Variable costs per speaker Fixed expenses per month 400 $250 $ 150 $35,000 1. Change in fixed cost and sales volume What is the impact if Acoustic increases sales by 30% to 520 speakers by increasing the monthly advertising budget by $10,000? Sales Less: Variable expenses Contribution margin Less: Fixed expenses Net income Current Sales Sales with Difference Additional Per unit Percentage of Sales advertising budget $ 0 $ 0 $ 0 $ 0 0 0 0 O 0 0 $ 0 099 0 0 2. Change in variable costs and sales volume What is the profit impact if Acoustic can use higher quality raw components, thus increasing variable costs per unit by $10, to generate an increase in unit sales by 20% to 480? 3. Change in fixed cost, sales price, and sales volume What is the profit impact if Acoustic cuts its selling price $20 per speaker, increases its advertising budget by $15,000 per month, and increases unit sales by 50% from to 600 units per month?