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How much could the firm spend on the campaign

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The Panagbenga Company currently sells its product for P10 and has variable costs of P6 per unit.

Fixed costs are P 30,000. Answer the following questions, considering each independently.

Question 1: If it is expected that an advertising campaign would generate an increase of 5,000 units of sales, how much could the firm spend on the campaign without changing profits?

Reference no: EM132596567

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