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[The following information applies to the questions displayed below.] Marathon Company makes and sells a single product. The current selling price is $19 per unit. Variable expenses are $11.4 per unit, and fixed expenses total $60,240 per month. (Uniess otherwise stated, consider each requirement separately.) f. 1. Calculate the monthly operating income (or loss) that would result from a $1 per unit price increase and a $6,000 per month increase in advertising expenses, both relative to the original data. Assume a sales volume of 7,400 units per month. 2. Is the increase in advertising expense justified by the price increase? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Calculate the manthiy operating income (or lose) that would rewult from a $1 pec unit price increase and a =6,000 per month increase in advertising expenses, both relative to the originat data. Assume a sales volume of 7,400 units per month. Note: Da not round intermediate calculations. [The following information applies to the questions displayed below.) Marathon Company makes and sells a single product. The current selling price is $19 per unit. Variable expenses are $11.4 per unit, and fixed expenses total $60,240 per month. (Unless otherwise stated, consider each requirement separately.) Management is considering a change in the sales force compensation plan. Currently each of the firm's two salespeople is paid a salary of $2,500 per month. 9. 1. Calculate the monthly operating income (or loss) that would result from changing the compensation plan to a salary of $400 per month, plus a commission of $0.8 per unit, assuming a sales volume of 7,400 units per month. 2. Calculate the monthly operating income (or loss) that would result from changing the compensation plan to a salary of $400 per month, plus a commission of $0.8 per unit, assuming a sales volume of 7,200 units per month. h. 1. Assuming that the sales volume of 7,200 units per month achieved in part 9 could also be achieved by increasing advertising by $1,000 per month instead of changing the sales force compensation plan. What would be the operating income or loss? 2. Which strategy would you recommend? Complete this question by entering your answers in the tabs below. 9-1. Calculate the monthly operating income (or loss) that would result from changing the compensation pian to a saiary of $400 per month, plus a commission of 40.8 per unit, assuming a sales volume of 7,400 units per month. Note Do not round intermediate calculations. Q.2. Calculate the monthly operating income (or loss) that would result from changing the compensation plan to a salary of 3400 per month, plus a commission of $0.8 per unit, ossuming a sales volume of 7,200 units per month. Noter Do not round intermediate caiculotions. Losses should be indlcated by a minus sign. he1. Assuming that the sales volume of 7,200 units per month actieved in part q could also be achieved by increasing. advertising by $1,000 per month instead of changing the sales force compenisation plan. What would be the operating income of losses? Note: Do not round intermediate calculations. Losses should be indicoted by a minus sign. [The following information applies to the questions displayed below.] Marathon Company makes and sells a single product. The current selling price is $19 per unit. Variable expenses are $11.4 per unit, and fixed expenses total $60,240 per month. (Uniess otherwise stated, consider each requirement separately.) f. 1. Calculate the monthly operating income (or loss) that would result from a $1 per unit price increase and a $6,000 per month increase in advertising expenses, both relative to the original data. Assume a sales volume of 7,400 units per month. 2. Is the increase in advertising expense justified by the price increase? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Calculate the manthiy operating income (or lose) that would rewult from a $1 pec unit price increase and a =6,000 per month increase in advertising expenses, both relative to the originat data. Assume a sales volume of 7,400 units per month. Note: Da not round intermediate calculations. [The following information applies to the questions displayed below.) Marathon Company makes and sells a single product. The current selling price is $19 per unit. Variable expenses are $11.4 per unit, and fixed expenses total $60,240 per month. (Unless otherwise stated, consider each requirement separately.) Management is considering a change in the sales force compensation plan. Currently each of the firm's two salespeople is paid a salary of $2,500 per month. 9. 1. Calculate the monthly operating income (or loss) that would result from changing the compensation plan to a salary of $400 per month, plus a commission of $0.8 per unit, assuming a sales volume of 7,400 units per month. 2. Calculate the monthly operating income (or loss) that would result from changing the compensation plan to a salary of $400 per month, plus a commission of $0.8 per unit, assuming a sales volume of 7,200 units per month. h. 1. Assuming that the sales volume of 7,200 units per month achieved in part 9 could also be achieved by increasing advertising by $1,000 per month instead of changing the sales force compensation plan. What would be the operating income or loss? 2. Which strategy would you recommend? Complete this question by entering your answers in the tabs below. 9-1. Calculate the monthly operating income (or loss) that would result from changing the compensation pian to a saiary of $400 per month, plus a commission of 40.8 per unit, assuming a sales volume of 7,400 units per month. Note Do not round intermediate calculations. Q.2. Calculate the monthly operating income (or loss) that would result from changing the compensation plan to a salary of 3400 per month, plus a commission of $0.8 per unit, ossuming a sales volume of 7,200 units per month. Noter Do not round intermediate caiculotions. Losses should be indlcated by a minus sign. he1. Assuming that the sales volume of 7,200 units per month actieved in part q could also be achieved by increasing. advertising by $1,000 per month instead of changing the sales force compenisation plan. What would be the operating income of losses? Note: Do not round intermediate calculations. Losses should be indicoted by a minus sign

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