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Assignment:
A small company has $5,000,000 in (annual) revenue, spends 42% of its revenues on purchases, and has a net profit margin of 6%. They would like to increase their profits and they are looking at focusing in one of two directions. First, they think they can save 1.15% on their purchase expenses. Or second, they can focus on increasing sales.
By how many dollars would they have to increase sales in order to equal a 1.15% savings to purchasing expenses? (Display your answer as a whole number.)
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