1. Carol Corporation sells only one product at $230 per unit. The firm's most recent income statement reported unit sales of 2,600, variable costs per unit of $55, and fixed costs of + $180,000. Management believes that a 20% drop in selling price will boost sales by 20%. If this decrease in selling price is adopted: ABC a. Operating income will increase by $52,520. b. Operating income will decrease by $119,600. c. Operating income will decrease by $52,520. d. Operating income will increase by $67,080. e. Operating income will decrease by $186,680.