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3. A company has the following data: Sales 3,000 units Sales Price $70 per unit Variable c. $50 per unit Fixed Cost $25,000 If the

3. A company has the following data:

Sales

3,000 units

Sales Price

$70 per unit

Variable c.

$50 per unit

Fixed Cost

$25,000

If the sales volume decreases by 25%, the variable cost per unit increases by 15%, and all other actors factors remain the same, what will the outcome be for net income?

Decrease by $31,875.

C)

Increase by $20,625.

B)

Decrease by $15,000.

D)

Decrease by $3,125.

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