Question:
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