Pattimore Inc. sells a single product at $30 per unit. The firm's most recent income statement revealed unit sales of 200,000, variable costs of $900,000, and fixed costs of $3,500,000. If a $6 drop in selling price will boost unit sales volume by 30%, Pattimore will experience:
A)no change in profit because a 20% drop in sales price is balanced by the 30% increase in volume.
B)a $30,000 drop in profitability.
C)a $1,200,000 drop in profitability.
D)a $1,530,000 increase in profitability.
E)a $1,570,000 drop in profitability.

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The Answer of Pattimore Inc. sells a single product at $30 per unit. The firm's most recent income statement revealed unit sales of 200,000, variable costs of $900,000, and fixed costs of $3,500,000. If a $6 drop in selling price will boost unit sales volume by 30%, Pattimore will experience:
A)no change in profit because a 20% drop in sales price is balanced by the 30% increase in volume.
B)a $30,000 drop in profitability.
C)a $1,200,000 drop in profitability.
D)a $1,530,000 increase in profitability.
E)a $1,570,000 drop in profitability.