Multiple Cholce Question

A company's current sales are $$300,000$ and fixed expenses total $$85,000.$ The contribution margin ratio is $30\%.$ The company has decided to expand production which is expected to increase sales by $$70,000$ and fixed expenses by $$15,000.$ If these results occur, net operating income will

decrease by $$15,000$

increase by $$21,000$

increase by $$6,000$

decrease by $$27,000$

Multiple Select Question

Select all that apply

When a company produces and sells multiple products

a change in the sales mix will most likely change the break$-$even point

each product most likely has a unique contribution margin

the sales mix has no effect on the company's profit

each product most likely has different costs

Multiple Select Question

Select all that apply

When a company produces and sells multiple products

a change in the sales mix will most likely change the break$-$even point

each product most likely has a unique contribution margin

the sales mix has no effect on the company's profit

each product most likely has different costs