The Raisin Division of Trail Mix Foods,Inc Raisin Expects Identical Operating Results This Year

The Raisin Division of Trail Mix Foods,Inc.had the following operating results last year:
$$\begin{array} { | l | r | } \hline \text { Sales } ( 150,000 \text { pounds of raisins) } & \$ 60,000 \\\hline \text { Variable expenses } & 37,500 \\\hline \text { Contribution margin } & 22,500 \\\hline \text { Fixed expenses } & \underline{12,000} \\\hline \text { Profit } & \$ 10,500 \\\hline\end{array}$$ Raisin expects identical operating results this year.The Raisin Division has the ability to produce and sell 200,000 pounds of raisins annually.Assume that the Raisin Division is currently operating at its capacity of 200,000 pounds of raisins.Also assume again that the Peanut Division wants to purchase an additional 20,000 pounds of raisins from the Raisin Division.Under these conditions,what amount per pound of raisins would the Raisin Division have to charge Peanut in order to maintain its current profit?

A) $0.40 per pound.
B) $0.08 per pound.
C) $0.15 per pound.
D) $0.25 per pounD.
See calculation below.