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1) A company has provided the following data: Sales 50,000 units Sales price $100 per unit Variable cost $70 per unit Fixed cost $30,000 If
1) A company has provided the following data: Sales 50,000 units Sales price $100 per unit Variable cost $70 per unit Fixed cost $30,000 If the dollar contribution margin per unit is increased by 15%, total fixed cost is decreased by 25%, and all other factors remain the same, what will the outcome be for operating income? A) Decrease by $50,000. B) Increase by $200,000. C) Increase by $3,500. D) Increase by $232,500
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