The marketing team at P&G Company is developing an advertising campaign to promote their specialty products. They are considering the usage of Television (TV) and Social Media (SM) as the advertising media for their proposed campaign. The cost of making one TV ad is $1200 and the cost of making one SM ad is $600. P&G's advertising budget has been set at $30,000. The TV exposure rate is 600,000 per ad and SM exposure rate is 200,000 per ad. The following additional guidelines are to be considered. • Do not use more than 25 Social Media ads.
• Use at least 35 combined TV and Social Media ads.
• Ensure a minimum of 5000 exposures through Social Media exposures
• The number of Social Media ads cannot be less than the number of TV ads.
The Management at P&G would like to know how many TV and how many SM ads should be used to maximize the overall exposure rates of the advertising campaign.

Magic realm, inc., has developed a new fantasy board game. the company sold 15,000 games last year at a selling price of $20 per game. fixed expenses associated with the game total $182,000 per year, and variable expenses are $6 per game. production of the game is entrusted to a printing contractor. variable expenses consist mostly of payments to this contractor.required: 1-a. prepare a contribution format income statement for the game last year.1-b. compute the degree of operating leverage.2. management is confident that the company can sell 58,880 games next year (an increase of 12,880 games, or 28%, over last year). given this assumption: a. what is the expected percentage increase in net operating income for next year? b. what is the expected amount of net operating income for next year? (do not prepare an income statement; use the degree of operating leverage to compute your answer.)