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A Company Has Provided the Following Data

Question 25

Multiple Choice

A company has provided the following data: A company has provided the following data: If the dollar contribution margin per unit is increased by 10%, total fixed cost is decreased by 20%, and all other factors remain the same, net operating income will: A) increase by $61,000. B) increase by $20,000. C) increase by $3,500. D) increase by $11,000.
If the dollar contribution margin per unit is increased by 10%, total fixed cost is decreased by 20%, and all other factors remain the same, net operating income will:


A) increase by $61,000.
B) increase by $20,000.
C) increase by $3,500.
D) increase by $11,000.

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