Information Concerning Thompson Corporation's Product a Follows:
Sales  &Nbsp; &Nbsp; $\$ 300,000$

Multiple Choice

Information concerning Thompson Corporation's Product A follows:
Sales                                      $\$ 300,000$
Variable costs                          240,000
Fixed costs                              40,000
Assuming that Thompson increased sales of Product A by 20 percent,what should the profit from Product A be?

A) $20,000
B) $24,000
C) $32,000
D) $80,000