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If the advertising budget was 30000 for the quarter and was

Mike's Motorcycles - The company's owner has seen some indications of a slowdown in sales after several years of business success. They decided to increase the advertising budget by 10% and reduce sales prices by 4%. The following partial income statement shows the company's results for the most recent quarter:

Sales $800,000.00

Less: Variable costs $560,000.00

Contribution Margin $240,000.00

Less Fixed costs $175, 000.00

Net Operating Income $65,000.00

If the advertising budget was $30,000 for the quarter and was included in the fixed costs, calculate the new net income or loss if the changes are made?

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Accounting Basics: If the advertising budget was 30000 for the quarter and was

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Accounting Basics: If the advertising budget was 30000 for the quarter and was

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