Question: Exercise 6-1 The Effect of Changes in Activity on Net Operating Income (L06-1] Whirly Corporation's contribution format income statement for the most recent month is
Exercise 6-1 The Effect of Changes in Activity on Net Operating Income (L06-1] Whirly Corporation's contribution format income statement for the most recent month is shown below: Sales (7,400 units) Variable expenses Contribution margin Fixed expenses Net operating income Total $ 251,600 140,600 111,000 54,400 $ 56,600 Per Unit $ 34.00 19.00 $ 15.00 Required: (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 6,400 units? 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income
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