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Other Fields Homework Help Marketing Topic started by: bernie2981 on Nov 15, 2015



Title: Star Corporation management has budgeted the following amounts for its next fiscal year:Total fixed
Post by: bernie2981 on Nov 15, 2015
Star Corporation management has budgeted the following amounts for its next fiscal year:

Total fixed expenses   $450,000
Selling price per unit   $50
Variable expenses per unit   $25

If Star Corporation spends an additional $20,000 on advertising, sales volume should increase by 3,000 units. What effect will this have on operating income?
A) Decrease of $75,000
B) Decrease of $55,000
C) Increase of $75,000
D) Increase of $55,000


Title: Re: Star Corporation management has budgeted the following amounts for its next fiscal year:Total fi
Post by: nuclei on Nov 19, 2015
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Title: Re: Star Corporation management has budgeted the following amounts for its next fiscal year:Total fixed
Post by: bernie2981 on Dec 1, 2015
You're such a dedicated member, I very much appreciate the help.

Marking this solved ✓