None Blake wood Industries sold 55,000 units last month. The company'sfinancial results for the month were: Total Sales: $440,000 TotalVariable Expenses: $352,000 Fixed Expenses: $62,000Required:1. What is the company's contribution margin (CM) ratio?2. What is the estimated change in net operating income if total salesincrease by $4,000?

Step 1:1. The contribution margin ratio is calculated as follows: Contribution margin ratio =…

Answered: Blake wood Industries sold 55,000 units…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter12: Balanced Scorecard And Other Performance Measures

Section: Chapter Questions

Problem 5EA: During the current year, Sokowski Manufacturing earned income of $350,000 from total sales of...

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