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Spice Inc.'s unit selling price is $60, unit variable costs are $35, fixed costs are $125,000, and current sales are 10,000 units. How much will income from operations change if sales increase by 8,000 units? O a. $200,000 increase O b. $150,000 decrease O c. $150,000 increase O d. $175,000 increase

Spice Inc.'s unit selling price is $60, unit variable costs are $35, fixed costs are $125,000, and current sales are 10,000 units. How much will income from operations change if sales increase by 8,000 units? O a. $200,000 increase O b. $150,000 decrease O c. $150,000 increase O d. $175,000 increase

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question 27
Spice Inc.'s unit selling price is $60, unit variable costs are $35, fixed costs are $125,000, and current sales are 10,000 units. How much will income from operations change if sales increase by 8,000 units? O a. $200,000 increase O b. $150,000 decrease O c. $150,000 increase O d. $175,000 increase
Transcribed Image Text:Spice Inc.'s unit selling price is $60, unit variable costs are $35, fixed costs are $125,000, and current sales are 10,000 units. How much will income from operations change if sales increase by 8,000 units? O a. $200,000 increase O b. $150,000 decrease O c. $150,000 increase O d. $175,000 increase
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