Question: is this an increase or decrease? 4. 5. please show work for number 5 Variable costs as a percentage of sales for Lemon Inc. are

Variable costs as a percentage of sales for Lemon Inc. are 68%, current sales are $513,000, and fixed costs are $195,000. How much will operating income change if sales increase by $47,400? Oa. $32,232 increase Ob. $32,232 decrease Oc. $15,168 increase Od. $15,168 decrease The level of inventory of a manufactured product has increased by 9,151 units during a period. The following data are also available: Variable Fixed 3.00 Unit manufacturing costs of the period $10.00 $8.00 Unit operating expenses of the period 1.00 The effect on operating income if absorption costing is used rather than variable costing would be a Oa. $73,208 increase Ob. $100,661 increase Oc. $73,208 decrease Od. $100,661 decrease
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
