A company produces 1,000 packages of chicken feed per month. The sales price is $3.90...
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A company produces 1,000 packages of chicken feed per month. The sales price is $3.90 per pack. Variable cost is $1.50 per unit, and fixed costs are $1,700 per month. Management is considering adding a vitamin supplement to improve the value of the product. The variable cost will increase from $1.50 to $1.70 per unit, and fixed costs will increase by 20%. The company will price the new product at $7.00 per pack. How will this affect operating income? O A. Operating income will increase by $2,560 per month O B. Operating income will decrease by $1,060 per month C. Operating income will decrease by $2,560 per month OD. Operating income will remain
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