Assume Unicorn Company Has the Following Information Available If Variable Costs Increase to $65 Per Unit,what Is the l

Multiple Choice

Assume Unicorn Company has the following information available:
$\begin{array} { l } \text {Selling price per unit }&\$100\\ \text { Variable cost per unit }&\$45\\ \text { Fixed costs per year}&\$420,000\\ \text { Expected sales per year}&20,000 \text { units }\\\end{array}$

If variable costs increase to $65 per unit,what is the expected net income for one year?

A) $280,000
B) $700,000
C) $880,000
D) $1,580,000