Question: es Sales (36,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Total $ 324,000 216,000 108,000 44,000 $ 64,000 Required: (Consider each case

es Sales (36,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Total $ 324,000 216,000 108,000 44,000 $ 64,000 Required: (Consider each case independently): Per Unit $9.00 6.00 $ 3.00 1. What is the revised net operating income if unit sales increase by 10%? 2. What is the revised net operating income if the selling price decreases by $1.10 per unit and the number of units sold increases by 16%? 1. Net operating income 2. Net operating income 3. Net operating income 4. Net operating income 3. What is the revised net operating income if the selling price increases by $1.10 per unit, fixed expenses increase by $9,000, and the number of units sold decreases by 2%? 4. What is the revised net operating income if the selling price per unit increases by 20%, variable expenses increase by 20 cents per unit, and the number of units sold decreases by 14%?
 es Sales (36,000 units) Variable expenses Contribution margin Fixed expenses Net

(Consider each case independently): 1. What is the revised net operating income if unit sales increase by 10% ? 2. What is the revised net operating income if the selling price decreases by $1.10 per unit and the number of units sold increases by 16% ? 3. What is the revised net operating income if the selling price increases by $1.10 per unit, fixed expenses increase by $9,000, and the number of units sold decreases by 2% ? 4. What is the revised net operating income if the selling price per unit increases by 20%, variable expenses increase by 20 cents per unit, and the number of units sold decreases by 14%

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!