A company sells product B with an average price of 50 per unit and an average variable expense of 20 unit.

The average fixed expense per month is 45,000. 2000 units of product B are sold on average per month.

If sales would increase with 25% with no change in costs, how much would the net operating income increase?

a) 60%

b) 50%

c) 55%

d) 40%

A company sells product B with an average price of 60 per unit and an average variable expense of 25 per unit.

The average fixed expense per month is 20,000. 1000 units of product B are sold on average per month.

If sales would increase with 15% with no change in costs, how much would the net operating income increase?

a) 15%

b) 35%

c) 58%

d) 40%