Increase to break even on this expenditure

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Reference no: EM13760939

Alliance, Inc. sells gas lamps to consumers through retail outlets. Total industry sales for Alliances relevant market last year were $100 million, with Alliances sales representing 5% of that total. Contribution margin is 25%. The marketing manager has suggested increasing consumer advertising by $200,000. By how much would dollar sales have to increase to break even on this expenditure?

Reference no: EM13760939

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