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matarata matarata
wrote...
Posts: 277
6 years ago
If sales increase by $60,000, operating income will increase by ________.
A) $10,000
B) $40,000
C) $45,000
D) $60,000
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Replies
wrote...
6 years ago
 C
Explanation:  C) Price = $440,000 / 11,000 = $40.00
Sales in softwares = $60,000 / $40.00 = 1,500 softwares
Variable cost per unit = $110,000 / 11,000 = $10.00
Operating income increase = 1,500 softwares  ($40.00 - $10.00) = $45,000
matarata Author
wrote...
6 years ago
Thanks for your help!
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