Question Content Area Variable costs as a percentage of sales for Lemon Inc. are 61%,...
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Accounting
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Question Content Area
Variable costs as a percentage of sales for Lemon Inc. are 61%, current sales are $617,000, and fixed costs are $199,000. How much will operating income change if sales increase by $35,900?
a.$21,899 increase
b.$21,899 decrease
c.$14,001 increase
d.$14,001 decrease
Question Content Area
Variable costs as a percentage of sales for Lemon Inc. are 61%, current sales are $617,000, and fixed costs are $199,000. How much will operating income change if sales increase by $35,900?
a.$21,899 increase
b.$21,899 decrease
c.$14,001 increase
d.$14,001 decrease
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