If the company increases its unit sales volume by 5% without increasing its fixed expenses, then total net operating income should be closest to:
A)$5,000
B)$123,100
C)$105,000
D)$102,500

Question

Quizplus · Accepted Answer

Increasing unit sales volume by 5% without increasing fixed expenses will increase total net operating income. The closest value to the expected increase is $123,100.

If the Company Increases Its Unit Sales Volume by 5