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Flash City Inc

Question 204

Multiple Choice

Flash City Inc. manufactures small flash drives and is considering raising the price by 75 cents a unit for the coming year. With a 75-cent price increase, demand is expected to fall by 7,000 units.
Flash City Inc. manufactures small flash drives and is considering raising the price by 75 cents a unit for the coming year. With a 75-cent price increase, demand is expected to fall by 7,000 units. If the price increase is implemented, operating profit is projected to ________. A) increase by $35,100 B) decrease by $5,250 C) increase by $5,250 D) decrease by $7,000
If the price increase is implemented, operating profit is projected to ________.


A) increase by $35,100
B) decrease by $5,250
C) increase by $5,250
D) decrease by $7,000

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