For its relevant range of production and sales, the Doggie Door, Corp. has the following cost behavior for its only product.The company is able to operate without any change in inventory levels for the beginning of the year to the end of the year.

Variable costs of production$25 per unit

Variable costs of sales and administration$25 per unit

Fixed costs of production$100,000 per year

Fixed costs of sales and administration$75,000 per year

Assuming that the product is sold for $100 per unit, how many units must be produced and sold if the operating income is to be $25,000?

A. 4,000

B. More information is needed in order to answer the question

C. 8,000

D. 7,000