By what amount will net income increase

Reference no: EM13128127

Ajani Company has variable costs equal to 40% of sales. The company is considering a proposal that will increase sales by $10,000 and total fixed costs by $6,000. By what amount will net income increase?

A. $6,000
B. $4,000
C. $2,000
D. $0

Reference no: EM13128127

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