Question

Niolio has budgeted the following amounts for its next fiscal​ year: Total fixed expenses $1,700,000 Selling...

Niolio has budgeted the following amounts for its next fiscal​ year:

Total fixed expenses

$1,700,000

Selling price per unit

$65

Variable expenses per unit

$15

If it can reduce fixed expenses by $110,500​, by how much can variable expenses per unit increase and still allow the company to maintain the original breakeven sales in​ units?

A. $53.25

B. $38.25

C. $11.75

D. $ 15.00

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