6. If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income? Net operating income

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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[The following information applies to the questions displayed below.]
Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the
relevant range of production is 500 units to 1,500 units):
$ 45,000
31,500
Sales
Variable expenses
Contribution margin
Fixed expenses
13,500
8,640
Net operating income
$ 4,860
6. If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income?
Net operating income
Transcribed Image Text:! Required information [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): $ 45,000 31,500 Sales Variable expenses Contribution margin Fixed expenses 13,500 8,640 Net operating income $ 4,860 6. If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income? Net operating income
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