Ajani Company has variable costs equal to 35% of sales. The company is considering a proposal that will increase sales by $25,000 and total fixed costs by $16,250. By what amount will net income increase?

Ajani Company has variable costs equal to 35% of sales. The company is considering a proposal that will increase sales by $25,000 and total fixed costs by $16,250. By what amount will net income increase?

Intermediate Algebra

19th Edition

ISBN:9780998625720

Author:Lynn Marecek

Publisher:Lynn Marecek

Chapter12: Sequences, Series And Binomial Theorem

Section12.3: Geometric Sequences And Series

Problem 12.57TI: What is the total effect on the economy of a government tax rebate of $1,000 to each household in...

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Question

I want answer

Ajani Company has variable costs
equal to 35% of sales. The company
is considering a proposal that will
increase sales by $25,000 and total
fixed costs by $16,250. By what
amount will net income increase?

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