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By what amount net income will increase

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The following information is available for Bluewood Corporation for a sales volume of 500 stereo speakers for the past month:

                       Total                    Per Unit

Sales          $225,000             $450

Less: variable expenses 80,000  160

Contribution margin $145,000 290

Less: ?xed expenses $ 35,000

Net operating income $110,000

Problem 1: If sales increase by $51,750, net income will increase by what amount?

a. $ 6,000 b. $ 8,000 c. $20,000 d. $33,350

Reference no: EM132783265

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