How will operating income change

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Problem - Sandra would like to increase operating income for the single product she sells. She believes that a 15% increase in sales price will lead to a 10% reduction in unit sales. Each unit currently sells for $15. Total variable expenses of $180,000 and fixed expenses of $90,000 led to an operating income of $30,000. If Sandra increases the sales price by 15%, how will operating income change?

Reference no: EM132844552

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