Selling Price Variable Costs $150 60 $200 100 $300 180 Sales Mix 50% 40% 10% Estimated Sales are $ 60,000,000 Estimated fixed costs are $ 18,000,000. Jetson believes they can increase the sales of Elroy by 5,000 units by spending $20,000 on additional advertising. If they do this and the sales do increase as planned, what will be the effect on profits? O A. none of the listed choices OB. Profits will increase by $ 480,000 C. Profits will increase by $ 400,000 OD. Profits will increase by $ 250,000 E. Profits will decrease by $ 406,778 Selling Price Variable Costs $150 60 $200 100 $300 180 Sales Mix 50% 40% 10% Estimated Sales are $ 60,000,000 Estimated fixed costs are $ 18,000,000. What will happen to total profit if Jetson drops Rosie? O A. The Fixed costs will decrease by $2,400,000 B. none of the listed choices C. The Fixed Costs will increase by $2,400,000 D. Profits will decrease by $6,000,000 E. Profits will decrease by $2,400,000 ASUU Elroy Rosie Selling Price Variable Costs $150 60 $200 100 $300 180 Sales Mix 50% 40% 10% Estimated Sales are $ 60,000,000 Estimated fixed costs are $ 18,000,000. The estimated weighted average contribution margin is OA. 59.0% OB. 47.7% O C. 40.0% D. none of the listed choices E. 54.0%
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