Required information The following information applies to the questions displayed below Hudson Company reports the...
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Required information The following information applies to the questions displayed below Hudson Company reports the following contribution margin income statement Sales 10 200 units at 225 each Variable costs 10 200 units at 180 each Contribution margin Fixed costs Income HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales Variable costs Contribution margin 2 295 000 1 836 000 The marketing manager believes that increasing advertising costs by 87 000 will increase the company s sales volume to 11 600 units Prepare a contribution margin income statement for the next year assuming the company incurs the additional advertising costs 459 000 360 000 99 000 CH
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