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Suppose a small business has sales of $11,000 this month, with future sales expected to grow by $1,300 each month. Costs consist of a fixed component, which is $5,500 per month, and a variable component, which is 30 percent of sales. Design a spreadsheet to compute the gross profit (revenue less fixed and variable costs) per month over a nine month period. What is the gross profit in a single month 8 months from now? Please specify your answer as an integer.

Financial Management, Finance

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