Barrier Corporation Is Performing a Sensitivity Analysis on One of Its

question 35

Multiple Choice

Barrier Corporation is performing a sensitivity analysis on one of its product.The product currently sells for $75 per unit, with variable cost of $46 per unit and fixed costs of $100,000.Barrier currently sells 80,000 units of this product.Barrier is considering reducing its price by 10%.If prices decrease, then it is expected that units sold will increase by 8%.Calculate the change in operating income.

• A)$462,400 decrease
• B)$248,500 decrease
• C)$462,400 increase
• D)$248,500 increase

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Definitions:

Maladaptive

Behaviors or thought patterns that were initially a response to challenges but become counterproductive, interfering with everyday functioning or well-being.

Personality Disorders

A group of mental health conditions characterized by enduring patterns of behavior, cognition, and inner experience that deviate from the expectations of the culture.

Antipsychotic Medication

Drugs used to treat symptoms of psychosis, such as hallucinations or delusions, often associated with schizophrenia and bipolar disorder.

Epigenetic Processes

Mechanisms that alter gene expression without changing the DNA sequence, affecting how cells read genes.