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Polly Estimates That If She Spends Another $10,000 to Upgrade

Question 120

Multiple Choice

Polly estimates that if she spends another $10,000 to upgrade the computer equipment at her tax preparation company, the number of tax returns she can handle will increase from 200 to 280. She charges an average of $50 to do each tax return. The MRP per dollar of this $10,000 upgrade is


A) $10,000
B) 25 percent
C) $4,000
D) 100 percent
E) 40 percent

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