Exhibit 6-5
Estrada Incorporated Produces Two Different Products with the Following

Multiple Choice

Exhibit 6-5
Estrada Incorporated produces two different products with the following monthly data.
$\begin{array}{llcc}&\text { Charcoal } & \text { Gas } & \text { Total } \\&\text { Barbecues } & \text { Barbecues } &\\\text { Selling price per unit } & \$ 150 & \$ 600 & \\\text { Variable cost per unit } & \$ 60 & \$ 360 & \\\text { Expected unit sales } & 1,400 & 600 & 2,000 \\\text { Sales mix } & 70 \% & 30 \% & 100 \% \\\text { Fixed costs } & & & \$ 180,000\end{array}$

-Refer to Exhibit 6-5.What would be the operating profit if the Charcoal Barbecue sales price decreases 20 percent?

A) $132,000
B) $50,400
C) $18,000
D) $48,000
E) None of the answer choices is correct.