Billings company has developed the following budgeted income statement: sales revenue (2,300 units × $14 sales price) $ 32,200 total variable expenses (2,300 × $6 per unit) (13,800 ) contribution margin 18,400 fixed expenses (10,000 ) net income $ 8,400 the company is experimenting with new engineering techniques and believes it can reduce variable cost to $4.50 per unit and significantly improve the product. the innovations would double fixed costs but the company expects to be able to increase sales to 3,500 units. if this strategy is pursued the company's budgeted net income will:

The income will increase to 13,250 dollars.

Explanation:

New scenario:

Sales 3,500 units x $14 sales price            = 49, 000

Variable expense 3,500 x $4.5 per unit    = (15, 750)  

Contribution Margin                                        33, 250

Fixed Expense: 10,000 x 2(they doubled) =  (20,000)  

                                Net Income:                    13, 250

We have to recalculate the complete income statement as all the variables are affected in this strategy.

the correct answer would be b, when, queen, calder hall and london.

explanation:

we always capitalize words when a paragraph or sentence is starting, when an important name is used, when a place is being written, or simply when a noun is used, etc. so in this sentence, sentence is starting from 'when', so it will be written in capital letters. secondly, queen is considered to be an important person, so it will also be written in capital letter. next, the name of the town is mentioned, i-e calder hall, which will also be written in capital letters. in the last,   city name is being used, 'london', which will also be written in capital letters. so option b is the most appropriate one.