Question 14 [CLO-3] Frazer Corp sells several products, totalling 10,000 units, in the current financial year. Information of average revenue and costs is as follows: Selling price per unit $28.50 Variable costs per unit: Direct $5.50 material Direct manufacturing $1.15 labor Manufacturing $0.85 overhead Selling $2.50 costs Annual fixed $125,000 costs If the company decides to lower its selling price by 12.25%, the operating income is reduced by N $55,500 $55,000 $56,500 500 500