Question: Question Three Sales (25,000 units)... Variable Expense. Contribution Margin. Fixed Expenses. Net Operating Income.. Refer to the original Data Amount $750,000 600.000 150,000 20,000 $60,000

 Question Three Sales (25,000 units)... Variable Expense. Contribution Margin. Fixed Expenses.

Question Three Sales (25,000 units)... Variable Expense. Contribution Margin. Fixed Expenses. Net Operating Income.. Refer to the original Data Amount $750,000 600.000 150,000 20,000 $60,000 (15 marks) a. Consider the following suggested changes for next month and prepare a new CM format Income Statement: Total FC increased by 10% Price increased by $2 Volume increased by 3,000 units VC per unit increased by 5%. b. Would this be a good suggestion? Explain (1 mark) c. Why is Break Even Point always equal to zero? (2 marks)

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