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if the company s sales volume in units decreases by 30 and if it desires a targeted 636508

Holger Incorporated, which produces and sells a single product, has provided the following

data:

Sales

2,000 units

Selling price

$60 per unit

Variable expense

$40 per unit

Fixed expense

$20,000

Consider each of the following questions independently.

If the company”s sales volume in units decreases by 30%, and if it desires a targeted net operating income of $29,000, then the selling price should be:

A) $58.85

B) $60.75

C) $64.50

D) $75.00

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