O'Neill, Incorporated's Segmented Income Statement for the Most Recent Month

question 88

Multiple Choice

O'Neill, Incorporated's segmented income statement for the most recent month is given below. For each of the following questions, refer back to the above original data. The marketing department believes that a promotional campaign at Store A costing $6,000 will increase sales by $15,000. If its plan is adopted, overall company net operating income should:

• A)decrease by $1,800
• B)decrease by $10,200
• C)increase by $10,200
• D)increase by $1,800