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Author Question: Block Island TV currently sells large televisions for $380. It has costs of $320. A competitor is ... (Read 81 times)

ereecah

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on: Mar 6, 2021
Block Island TV currently sells large televisions for $380. It has costs of $320. A competitor is bringing a new large television to market that will sell for $360. Management believes it must lower the price to $360 to compete in the market for large televisions. Marketing believes that the new price will cause sales to increase by 10%, even with a new competitor in the market. Block Island TV sales are currently 150,000 televisions per year.

What is the change in operating income if marketing is correct and only the sales price is changed?
◦ $6,600,000
◦ $3,000,000
◦ $(6,600,000)
◦ ($2,400,000)
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by ereecah on Mar 6, 2021

Kaytorgator

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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ereecah

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Reply 2 on: Mar 6, 2021
YES! Correct, THANKS for helping me on my review

Kedrick2014

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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