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Flash City Inc. manufactures small flash drives and is considering raising the price by 75 cents a unit for the coming year. With a 75-
Flash City Inc. manufactures small flash drives and is considering raising the price by 75 cents a unit for the coming year. With a 75- cent price increase, demand is expected to fall by 7,000 units. Demand Selling price Incremental cost per unit Current 78,000 units $8.50 $6.80 Projected 71,000 units $9.25 $6.80 If the price increase is implemented, operating profit is projected to O A. increase by $5,250 OB. increase by $41,350 O C. decrease by $7,000 OD. decrease by $5,250
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