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Wiles Inc'S Unit Selling Price Is $40, the Unit Variable Costs

Question 2

Multiple Choice

Wiles Inc.'s unit selling price is $40, the unit variable costs is $30, fixed costs are $135,000, and current sales are 10,000 units.How much would operating income change if sales increase by 5,000 units?


A) $50,000 increase
B) $65,000 decrease
C) $100,000 increase
D) $50,000 decrease

Correct Answer:

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