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A Company Has Provided the Following Data: If the Sales

Question 94

Multiple Choice

A company has provided the following data: A company has provided the following data: If the sales volume decreases by 25%,the variable cost per unit increases by 15%,and all other factors remain the same,operating profit will: A) decrease by $31,875. B) decrease by $15,000. C) increase by $20,625. D) decrease by $3,125. If the sales volume decreases by 25%,the variable cost per unit increases by 15%,and all other factors remain the same,operating profit will:


A) decrease by $31,875.
B) decrease by $15,000.
C) increase by $20,625.
D) decrease by $3,125.

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