Alliance inc sells gas lamps to consumers through retail


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?

Request for Solution File

Ask an Expert for Answer!!
Operation Management: Alliance inc sells gas lamps to consumers through retail
Reference No:- TGS01031026

Expected delivery within 24 Hours