Company XYZ last year sold 40,000 units of a product whose contribution margin is $20.00. This year the company expects to sell only 25,000, despite reducing the unit price by $5.00 and keeping all other costs constant. The expected decrease in operating profit is: a
) $275,000.00
b) $425,000.00
c) $325,000.00
d) $375,000.00
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