A small business produces a single product and reports the following data Price $16 00 per unit Variable cost $10 00 per unit Fixed cost $42,000 per month Volume 20,000 per month The company believes that the volume will go up to 22,000 units if the company reduces its price to $15 00 How would this change affect operating income Please show how you got it

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A small business produces a single product and reports the following data: Price $16.00 per unit Variable cost $10.00 per unit Fixed cost $42,000 per

A small business produces a single product and reports the following data:

Price	$16.00	per unit
Variable cost	$10.00	per unit
Fixed cost	$42,000	per month
Volume	20,000	per month

The company believes that the volume will go up to 22,000 units if the company reduces its price to $15.00.How would this change affect operating income?

Please show how you got it

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