Question: Cises & Problems (Algo) Saved Exercise 6-1 (Algo) The Effect of Changes in Sales Volume on Net Operating Income [LO6-1] Whirly Corporation's contribution format
Cises & Problems (Algo) Saved Exercise 6-1 (Algo) The Effect of Changes in Sales Volume on Net Operating Income [LO6-1] Whirly Corporation's contribution format income statement for the most recent month is shown below: Sales (7,200 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: Total $216,000 Per Unit $ 30.00 144,000 72,000 20.00 $ 10.00 54,900 $ 17,100 (Consider each case independently) 1. What would be the revised net operating income per month if the sales volume increases by 70 units? 2. What would be the revised net operating income per month if the sales volume decreases by 70 units? 3. What would be the revised net operating income per month if the sales volume is 6,200 units? 1. Revised net operating income 2 Revised net operating income 3. Revised net operating income 2
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