The DesMaris Company had the following income statement for the month of November 2018:

\begin{array}{c} \text { DesMaris Company}\\ \text { Income Statement}\\ \text { For the Month of November 2018}\\ \begin{array}{llcc} \text { Sales \( (\$ 60 \times 10,000) \)} &&\$600,000\\\text { Cost of goods sold: }\\ \text { Direct material \( \mathrm{s}(\$ 12 \times 10,000) \)} &\$120,000\\ \text {Direct labor \( (\$ 9 \times 10,000) \) } &\$90,000\\ \text { Variable factory overhead \( (\$ 7.50 \times 10,000) \) } &75,000\\ \text {Fixed factory overhead } &120,000&405,000\\ \text { Gross profit } &&\$195,000\\ \text { Selling and administrative expenses: } &&\$195,000\\ \text { Variable \( (\$ 1.50 \times 10,000) \) } &\$15,000\\ \text {Fixed } & \underline{90,000}& \underline{105,000}\\ \text {Operating income } && \underline{\$90,000}\\\end{array} \end{array}

If the monthly sales volume increases by 450 units, DesMaris Company's monthly profits will increase by
A)$13,500.00.
B)$1,282.50.
C)$9,450.00.
D)$14,175.00.

Which of the Following Formulas Is Used to Calculate Break-Even

Multiple Choice

Correct Answer:VerifiedUnlock this answer nowGet Access to more Verified Answers free of chargeAccess For Free

Correct Answer:
Verified
Unlock this answer now
Get Access to more Verified Answers free of charge