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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-cent

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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-cent price increase, demand is expected to fall by 7,000 units. Current Projected Demand 78,000 units 71,000 units Selling price $9.00 $9.75 ncremental cost per unit $6.80 $6.80 Would you recommend the 75-cent price increase? A. Yes, because contribution maran per unit increases. B. O C. D. No, because demand decreased No, because the selling price increases Yes, because operating profits increase

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