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Star Lord expects the following results, without considering any of the changes described below: Product A Product B Total Sales P 100,000 P 300,000 P

Star Lord expects the following results, without considering any of the changes described below:

Product A

Product B

Total

Sales

P 100,000

P 300,000

P 400,000

Variable costs

40,000

100,000

140,000

Contribution margin

P 60,000

P 200,000

P 260,000

Fixed costs - avoidable

(20,000)

(30,000)

(50,000)

Fixed costs - unavoidable*

(50,000)

(100,000)

(150,000)

Profit (loss)

(P 10,000)

P 70,000

P 60,000

* based on unit sales of 100 A and 200 B.

If product A were dropped and unit sales of product B increased by 60%, what would the company's income be?

Group of answer choices

P 20,000

P 140,000

P 120,000

P 200,000

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