Question: Drake Company's contribution format income statement for the most recent year appears below: The unit contribution margin is: $17 $8 $1 $9 The break-even point
Drake Company's contribution format income statement for the most recent year appears below:
The unit contribution margin is:
| $17 | ||||||||||||||||||||||||||||||||||||||
| $8 | ||||||||||||||||||||||||||||||||||||||
| $1 | ||||||||||||||||||||||||||||||||||||||
| $9
The break-even point in sales dollars is:
|
Drake Company's contribution format income statement for the most recent year appears below: The unit contribution margin is: $17 $8 $1 $9The break-even point in sales dollars is: $731,250 $676,000 $675,000 $720,000If the company desires a net operating income of $20,000, the number of units needed to be sold is: 28,500 units 31,000 units 31,750 units 26,500 unitsThe sales manager is convinced that a $60,000 expenditure on advertising will increase unit sales by 50% without any other increase in fixed expenses. If the sales manager is correct, the company's net operating income would increase by: $44,000 $34,000 $30,000 $49,000
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