Kaiser's Kraft Korner sells a single product. 7,000 units were sold resulting in $70,000 of sales revenue, $28,000 of variable costs, and $12,000 of fixed costs.
-If sales increase by $25,000, operating income will increase by
A) $10,000.
B) $15,000.
C) $22,200.
D) $12,500.
Correct Answer:
Verified
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