Duve Corporation has provided the following income statement in contribution format. Assume that the following information is within the relevant range.

Sales (2,000 units) $40,000
Variable expenses 24,000
Contribution margin 16,000
Fixed expenses 11,200
Net operating income $4,800

If sales price increases by $4 per unit and sales volume decreases by 200 units, calculate net operating income.

Answer rating: 100% (QA)

Here are the steps on how to calculate the net operating income of Duve Corporation after ... View the full answer