Multiple Changes in Profit Plans

In an attempt to improve profit performance, Anderson Company's management is considering a number of alternative actions. An October contribution income statement for Anderson Company follows.

Required

Determine the effect of each of the following independent situations on monthly profit.

Note: Do not use negative signs with your answers.

a$.$ Purchasing automated assembly equipment, which should reduce direct labor costs by $$4$ per unit and increase variable overhead costs by $$1$ per unit and fixed factory overhead by $$12,000$ per month.

Increase of $q$

$

k

d$.$ Increasing the unit selling price by $$5$ per unit. This action should result in a $2,000$ unit decrease in monthly sales.

$$c$

$x$

e$.$ Combining alternatives $($a$)$ and $($d$).$

$