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Your boss is asking you for the impact of a sensitivity analysis for an existing product. The current information is as follows: Expected units to
Your boss is asking you for the impact of a sensitivity analysis for an existing product. The current information is as follows: Expected units to be sold Selling price per unit Variable cost per unit Total fixed costs 3,000 $70 $50 $25,000 What is the impact on operating income if sales units decrease by 25% and variable costs increase by 15%. Select one: O a. O b. Increase by $31,875. Decrease by $31,875. Decrease by $30,875. O c. O d. Decrease by $33,875. O e. Increase by $30,875
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