Question: Question Two Data concerning Wislocki Corporation's single product appear below: Per UnitPercent of Sales Selling price $130 100% Variable expenses 26 20% Contribution margin$104 80%

 Question Two Data concerning Wislocki Corporation's single product appear below: Per
UnitPercent of Sales Selling price $130 100% Variable expenses 26 20% Contribution

Question Two Data concerning Wislocki Corporation's single product appear below: Per UnitPercent of Sales Selling price $130 100% Variable expenses 26 20% Contribution margin$104 80% Fixed expenses are $466,000 per month. The company is currently selling 6,000 units per month. Required: The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $11 per unit. In exchange, the sales staff would accept an overall decrease in their salaries of $55,000 per month. The marketing manager predicts that introducing this sales incentive would increase monthly sales by 100 units. What should be the overall effect on the company's monthly net operating income of this change? Show your work! Question Three Fill in the missing amounts in each of the four case situations below. Each case is independent of the others. (Hint: One way to find the missing amounts would be to prepare a contribution format income statement for each case, enter the known data, and then compute the missing items.) Required: Case Units Sales Variable Contribution Fixed Net Sold Expenses Margin/unit Expenses Income 120,000 $300,000 $220,000 A $45000 B II 12000 120,000 $15 D 18000 Case Sales Variable Contribution Fixed Net Expenses Margin Ratio Expenses Income III 900,000 E 40% F 125,000 IV G H 45% 120,000 37,5000

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