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Information concerning Thompson Corporation's Product A follows: Sales $300,000 Variable costs 240,000 Fixed costs 40,000 Assuming that Thompson increased sales of Product A by 20

Information concerning Thompson Corporation's Product A follows:

Sales $300,000
Variable costs 240,000
Fixed costs 40,000

Assuming that Thompson increased sales of Product A by 20 percent, what should the profit from Product A be?

a. $20,000
b. $24,000
c. $80,000
d. $32,000

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