A sales rep has approached you and offered you a proposal for your company. They will increase you sales by 10%, while decreasing the price you can charge by $1, but only increase your variable cost per unit by $1. This will only cost you in $500 per year.

The current information you have on the year is as follows:

What is your new net income?

Units	2,000.00
Total Sales	20,000.00
Total VC	12,000.00
CM	8,000.00
FC	1,000.00
NI	7,000.00

a.

4,500

b.

7,300

c.

4,500

d.

2,900

e.

None of the above

Clear my choice

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