<span>you are still likely to do the favor for ben because you have just been a victim of the: lowball technique
The lowball is a selling technique in which an item is offered at a lower price than actually intended AFTER we increase the basis price. This technique often works because people have the tendency to conform to additional favor is it convinced to do another favor before
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Answer:
The company should accept the idea because profit will increase by $24,000.
Explanation:
A company is currently selling 10,000 units of product monthly for $40 per unit.
The unit contribution margin is $27.
The company believes that spending $50,000 per month on advertising will allow them to increase the selling price to $45 and that sales will increase by 750 units per month.
The unit contribution margin is the difference between selling price and variable cost per unit.
An increase in the selling price of $5 will cause the contribution margin to increase by $5, from $27 to $32.
Profits is the product of contribution margin and number of output.
At initial price, the profit was
= 
= $270,000
At the new price the profit will be
=
- $50,000
= $344,000 - $50,000
= $294,000
The increase in profit
= $294,000 - $270,000
= $24,000
Discretionary fiscal policy is a fiscal policy action, such as a tax cut, initiated by an act of Congress.
What is discretionary fiscal policy?
Discretionary fiscal policy is a policy in which government uses taxation and spending to influence aggregate demand.
Hence, Discretionary fiscal policy is a fiscal policy action, such as a tax cut, initiated by an act of Congress.
Learn more about fiscal policy here: brainly.com/question/6483847
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