Question: Jerry Mander sells vases for $125 per unit. The variable cost is $35 per unit, and total fixed costs are $75,000 per month. Sales volume
Jerry Mander sells vases for $125 per unit. The variable cost is $35 per unit, and total fixed costs are $75,000 per month. Sales volume is 8,000 units per month. Jerry believes that he can decrease variable cost per unit by $5 per unit by increasing total fixed costs by $35,000 per month. How much will this change increase or decrease profit per month? O $75,000 decrease O $5,000 decrease $5,000 increase O $40,000 decrease
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