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14. Aztec, Inc., manufactures a product that sells for $50 per unit. Aztec incurs a variable cost per unit of $38 and $144,000 in
14. Aztec, Inc., manufactures a product that sells for $50 per unit. Aztec incurs a variable cost per unit of $38 and $144,000 in total fixed costs to produce this product. It is currently selling 62,000 units. Should Aztec give a commission to its salesmen based on 6% of sales, if it will decrease fixed costs by $40,000 and increase sales volume 10%? A. Yes because net operating income increases by $90,200 B. Yes because net operating income increases by $170,200 C. No because net operating income decreases by $170,200 D. No because net operating income decreases by $90,200
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