Duve Corporation has provided the following contribution format income statement. Assume that the following information is within the relevant range. Sales (2,000 units)$40,000Variable expenses 24,000Contribution margin 16,000Fixed expenses 11,200Net operating income$4,800 If the selling price increases by $4 per unit and the sales volume decreases by 200 units, the net operating income would be closest to:
A. $12,800
B. $11,520
C. $10,400
D. $7,200
Answer: C
Business
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