Synergy Company Expects the Following Results for the Next Accounting

question 87

Multiple Choice

Synergy Company expects the following results for the next accounting period:
The sales manager believes that sales could be increased by 500 units if advertising expenditures were increased by $14,000.Which of the following is the effect on operating income if an increase in the advertising expenditures result in an increase in sales by 500 units? (Note: Round the sale price per unit and the variable cost per unit to two decimal places.)

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