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Grapple Inc. currently has a contribution margin of $19 on its only product and sells 46,000 units. Grapple Inc. is considering cutting its sales price
Grapple Inc. currently has a contribution margin of $19 on its only product and sells 46,000 units. Grapple Inc. is considering cutting its sales price by $2 to generate an increase in sales of 10,000 units. How will this change affect its operating income? O A. It will increase operating income by $78,000. B. It will increase operating income by $92,000. C. It will decrease operating income by $78,000. OD. It will decrease operating income by $92,000
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