Duncan Co Sells Product P at a Price of $38 a a Unit

question 15

Multiple Choice

Duncan Co. sells product P at a price of $38 a unit. The per-unit cost data are: direct materials $8, direct labour $10, and overhead $12 (25% fixed and 75% variable) . Wolff has sufficient capacity to accept a special order for 40,000 units just received. Selling costs associated with this order would be $3 per unit.
At a selling price of $33 per unit, the operating income will:

• A) Increase by $60,000
• B) Increase by $80,000
• C) Increase by $120,000
• D) Increase by $160,000

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Definitions:

Reducing Anger

Techniques and strategies aimed at lowering the intensity of feelings of anger or frustration to manage conflict and stress more effectively.

Negative Emotion

Feelings that are generally considered to be unpleasant or undesirable, such as sadness, anger, or fear.

Enthusiasm

The feeling of great eagerness and interest towards a particular subject or activity, often leading to active participation or engagement.

Anxiety

A feeling of worry, nervousness, or unease, typically about an imminent event or something with an uncertain outcome.