Answer the Following Question(s)using the Information Below

question 109

Multiple Choice

Answer the following question(s) using the information below.Frank's Computer Monitors Inc..currently sells 17" monitors for $270.It has costs of $210.A competitor is bringing a new 17" monitor to market that will sell for $225.Management believes it must lower the price to $225 to compete in the market for 17" monitors.Marketing believes that the new price will cause sales to increase by 10%, even with a new competitor in the market.Frank's sales are currently 10,000 monitors per year.
-What is the change in operating income if marketing is correct and only the sales price is changed?

• A)$1,421,250
• B)$(204,000)
• C)$(352,500)
• D)$(435,000)
• E)$18,750

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Definitions:

Soil PH

A measure of the acidity or alkalinity of soil, significantly affecting nutrient availability, microbial activity, and plant growth.

Monocultures

The agricultural practice of growing a single crop, plant, or livestock species in a field or farming system at a time.

Livestock Wastes

By-products of farm animal production, including manure and urine, which can contribute to pollution if not properly managed.

Groundwater

Water located beneath the Earth's surface in soil pore spaces and in the fractures of rock formations.