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Dusty sells a single product for $50. Variable costs are 60% of the selling price, and the company has fixed costs that amount to $400,000.
Dusty sells a single product for $50. Variable costs are 60% of the selling price, and the company has fixed costs that amount to $400,000. Current sales total 16,000 units. If Dusty sells one more unit:
a) operating income decreases by $30
b) operating income decreases by $5
c) operating income increases by $50
d) operating income increases by $20
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