CJS Corps most recent income statement is shown following: Unit selling price $28 Sales volume 17,325 units Total Sales $485,100 Unit Variable cost $15 Total Variable cost $259,875 Unit Contribution Margin $13 Total Contribution Margin $225,225 Total Fixed Cost $185,000 Net Income $40,225 The sales manager of CJS Corp is proposing to replace the monthly salary $45,000 with the commission paid $5 per unit. He says this will increase the units sold by 30%. How much do you think the net income will be?

A.

$50,000

B.

$40,000

C.

$45,000

D.

$40,180