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80.Vineyard Industries has three product lines, A, B, and C.The following information isavailable:ABCSales$60,000$90,000$24,000Variable costs36,00048,00020,000Contribution margin$24,000$42,000$4,000Fixed costs:Avoidable9,00018,0003,000Unavoidable6,0009,0002,400Operating income$9,000$15,000$(1,400Assuming Vineyard Industries can increase the selling price of
80.Vineyard Industries has three product lines, A, B, and C.The following information isavailable:ABCSales$60,000$90,000$24,000Variable costs36,00048,00020,000Contribution margin$24,000$42,000$4,000Fixed costs:Avoidable9,00018,0003,000Unavoidable6,0009,0002,400Operating income$9,000$15,000$(1,400Assuming Vineyard Industries can increase the selling price of product C to $30,000, allother information remaining constant, operating income will _____.)a.increase $3,600b.decrease $3,600c.decrease $6,000d.increase $6,000
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