QUESTION 16 A company produces 1,000 packages of chicken feed per month. The sales price Is $4.00 per pack. Variable cost Is $1.60 per unit, and fixed costs are $1,700 per month. Management is considering adding a vitamin supplement to Improve the value of the product. The variable cost will Increase from $1.60 to $1.70 per unit, and fixed costs will increase by 20%. The company will price the new product at $6 per pack. How will this affect operating Income? O Operating income will decrease by $40 per month. O Operating income will increase by $1,560 per month. O Operating Income will decrease by $1,560 per month. O Operating Income will remain unchanged. Click Save and Submit to save and submit. Click Save All Answers to save all answers. save