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Saloli, Inc -If Saloli Decreases Its Variable Costs by $2 Per Unit

Question 197

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Saloli, Inc., provides the following information:
 Units 500 Sales $30,000 Variable Costs $18,000 Fixed Costs $6,000\begin{array} { | l | r | } \hline \text { Units } & 500 \\\hline \text { Sales } & \$ 30,000 \\\hline \text { Variable Costs } & \$ 18,000 \\\hline \text { Fixed Costs } & \$ 6,000 \\\hline\end{array}
-If Saloli decreases its variable costs by $2 per unit, with no change in selling price per unit and sales volume, its new operating income will be ________.

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Variable cost per unit = $18,0...

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