A company's flexible budget for 12,000 units of production showed per unit contribution margin of $3.00 and fixed costs, $20,000. The operating income expected if the company produces and sells 18,000 units is:

A. $16,000.
B. $18,667.
C. $10,000.
D. $34,000.
E. $24,000.


Answer: D

Business

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