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Kelley company and mason company each have sales of 200000

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Kelley company and mason company each have sales of $200,000 and costs of $140,000. Kelley Company's costs consist of $40,000 fixed and $100,000 variable, while Mason Company's costs consist of $100,000 fixed and $40,000 variable. Which company will suffer that greatest decline in profits if sales volume declines by 15%?

Reference no: EM13579535

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