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Business, 26.05.2020 21:05 Jasten

Expects to sell 82,000 pencils next quarter. At this level of sales, variable expenses will total $184,500 and fixed expenses will total $242,130. The marketing department forecasts that sales volume will increase by 40% next quarter if ABC changes the name on the package to Super Size Pencils. This change will not affect the cost structure for the pencils. What will be the dollar amount change in operating income if ABC implements the name change?

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