Spice Inc'S Unit Selling Price Is $60, Unit Variable Costs Are

question 172

Multiple Choice

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 operating income change if sales increase by 8,000 units?

• A) $150,000 decrease
• B) $175,000 increase
• C) $200,000 increase
• D) $150,000 increase

---

Definitions:

Incorrect Use

Utilization of a product, service, or information in a manner that deviates from its intended purpose or guidelines, potentially leading to ineffective results.

Social Worker

A professional dedicated to helping individuals, families, and communities to cope with challenges and improve their well-being through various supports and interventions.

Stakeholders

Individuals or groups with an interest or concern in something, especially a business or project, and its success or failure.

Policy Reform

Changes or improvements made to existing rules, regulations, or laws with the aim of making them more effective or fair.