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EXERCISE 5-13 Changes in Selling Price, Sales Volume, Variable Cost per Unit, and Total Fixed Costs LO5-1, LO5-4 Miller Company's contribution format income statement for the most recent month is shown below Total Per Unit $300,000 $15.00 Sales (20,000 units) . 180,000 9.00 Variable expenses. . . 120,000 $ 6.00 Contribution margin . . .. . 70,000 Fixed expenses . ... . . . . .. $ 50,000 Net operating income. . .... Required: (Consider each case independently): 1. What is the revised net operating income if unit sales increase by 15%? 2. What is the revised net operating income if the selling price decreases by $1.50 per unit an the number of units sold increases by 25%? 3. What is the revised net operating income if the selling price increases by $1.50 per unit, fixed expenses increase by $20,000, and the number of units sold decreases by 5%? 4. What is the revised net operating income if the selling price per unit increases by 12% variable expenses increase by 60 cents per unit, and the number of units sold decrease by 10%? EXERCISE 5-14 Break-Even and Target Profit Ar