Viper Avionics Makes Aircraft Instrumentation

question 107

Multiple Choice

Viper Avionics makes aircraft instrumentation.Its basic navigation radio requires $90 in variable costs and $4000 per month in fixed costs.Further processing the radio,to enhance its functionality,will require an additional $27 per unit of variable costs,plus an increase in fixed costs of $280 per month.The marketing manager believes that they would be able to increase the sales price of the radio from $280 to $300.Viper sells 40 radios per month.If Viper decides to further process the radio,monthly operating income would ________.

• A)increase by $800
• B)increase by $4960
• C)decrease by $560
• D)decrease by $4960

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The title given to a person who exercises supreme command and control over an armed forces branch or the entire military of a nation.

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