Wilkes Manufacturing sells one product with a variable unit cost of $18. The company knows that the price charged will affect demand. Fixed costs are $265,000. If sales exceed 50,000 units, the company will need to lease additional manufacturing space and equipment at an additional cost of $30,000 per year. The following chart represents the estimated demand at various price levels:

Units Demanded Unit Price

25,000 $30

50,000 $28

75,000 $25

100,000 $23

Based on this information which of the following statements is true?

		Selling the units at $23 per unit will generate the largest profit.
		Selling the units at $28 per unit will generate the largest profit.
		Selling the units at $30 per unit will generate the largest profit.
		Selling the units at $25 per unit will generate the largest profit.
		None of the above