Dempster Company reported the following results from the sale of 5,000 units in May: sales $300,000, variable costs $180,000, fixed costs $90,000, and net income $30,000. Assume that Dempster increases the selling price by 10% on June 1. How many units will have to be sold in June to maintain the same level of net income?
A) 4,000.
B) 4,300.
C) 4,500.
D) 5,000.

Question

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The Answer of Dempster Company reported the following results from the sale of 5,000 units in May: sales $300,000, variable costs $180,000, fixed costs $90,000, and net income $30,000. Assume that Dempster increases the selling price by 10% on June 1. How many units will have to be sold in June to maintain the same level of net income?
A) 4,000.
B) 4,300.
C) 4,500.
D) 5,000.

Dempster Company Reported the Following Results from the Sale of 5,000