1. An increase in sales price would

a. Decrease the fixed cost per unit

b. Increase the variable cost per unit

c. Decrease the contribution margin per unit

d. Increase the contribution margin per unit

2. Michaels craft companys product has a selling price of $15 and a per unit variable cost of $8. Its fixed costs are $14,000. How many units must the company sell to earn a profit of $35,000.

a. 6125

b. 3,000

c. 7,000

d. 2,334