The Company manufactures a product that sells for $25 per unit. At present, the product is manufactured in a factory that mostly uses direct labor workers. The variable expenses are $15 per unit and the direct labor cost makes up 60% of variable expenses. Last year, the company sold 38,000 units of its product and provided the following results: Sales (38,000 balls) $950,000 Variable expenses 570,000 Contribution margin 380,000 Fixed expenses 264,000 Net operating $116,000 income The company considers building a new and high-tech factory. The new factory would reduce variable expenses per unit by 40%, but would double the company's fixed expenses per year due to investment in fixed assets. If the new factory is built, how many units will the answer, if necessary, to the closest number below.) company have to sell next year to earn the same net operating income, $116,000, as last year? (Round your Multiple Choice 40,250 units 41,563 units 42,875 units 47,313 units O