Unit Contribution Margin Calculation

Lorri$$s income statement is as follows:

Sales$*$$$105,000$Less variable costs$(33,600)$Contribution margin$$71,400$Less fixed costs$(16,800)$Net income$$54,600$

$*7,000$ units sold

If sales increase by $1,400$ units, profits will:

Select one:

a$.$

Increase by $$16,800$

b$.$

Increase by $$10,920$

c$.$

Increase by $$7,000$

d$.$

Increase by $$14,280$