Considering two fiscal years 2013 and 2014 if selling price in...

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Considering two fiscal years 2013 and 2014, if selling price in 2013 and 2014 is $55 and $60 per unit respectively and actual units sold in 2013 are 25000 units, then revenue effect of price recovery will be

A. $14,500

B. $135,000

C. $125,000

D. $12,500

Answer: Option C

Revenue effect of price recovery = ($60 - $55) × 25000
= $125,000.

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