A small business produces a single product and reports the following data: Sales price $8.00 per unit $5.30 per unit Variable cost Fixed cost $21,000 per month Volume units per 10,500 month The company believes that the volume will go up to 13,000 units if the company reduces its sales price to $7.25. How would this change affect operating income?

A small business produces a single product and reports the following data: The company believes that the volume will go up to 13,000 units if the company reduces its sales price to $7.25. How would this change affect operating income? A. It will decrease by $3,000. B. It will decrease by $7,350. C. It will increase by $3,000. D. It will increase by $7,350