Last month when Holiday Creations, Incorporated, sold 42,000 units, total sales were $168,000, total variable expenses were
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Question:
Last month when Holiday Creations, Incorporated, sold 42,000 units, total sales were $168,000, total variable expenses were $137,760, and fixed expenses were $39,700.
Required:
- What is the company's contribution margin (CM) ratio?
- What is the estimated change in the company's net operating income if it can increase sales volume by 675 units and total sales by $2,700?
Q.2
Related Book For
Managerial Accounting
ISBN: 9780073526706
12th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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