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Spice Inc.s unit selling price is $46, unit variable costs are $39, fixed costs are $117,000, and current sales are 10,200 u
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Answer #1
Unit Sales 10200 (10200+5900)=16100
Sales (10200*46)=469200 (16100*46)=740600
Variable costs (10200*39)=397800 (16100*39)=627900
Contribution margin 71400 112700
Fixed expense 117,000 117,000
Operating income (45600) (4300)

Hence increase in operating income=(4300)-(45600)

=41300.

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