Contribution Margin I/S: Recast Exercise Sold (Unit) 10,000 Sales Variable expenses Contribution margin Fixed expenses Net Income 100,000 60,000 40,000 30,000 10,000 Per unit $10 $6 $4 7,500 Per unit $10 $6 $4 (8) 12,000 Per unit ratios $10 12 $6 13 $4

Contribution Margin I/S: Recast Exercise Sold (Unit) 10,000 Sales Variable expenses Contribution margin Fixed expenses Net Income 100,000 60,000 40,000 30,000 10,000 Per unit $10 $6 $4 7,500 Per unit $10 $6 $4 (8) 12,000 Per unit ratios $10 12 $6 13 $4

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Contribution Margin I/S: Recast Exercise
Sold (Unit)
10,000
Sales
Variable expenses
Contribution margin
Fixed expenses
Net Income
100,000
60,000
40,000
30,000
10,000
Per unit
$10
$6
$4
(3)
(5
7,500
Per unit
$10
$6
$4
(6)
(7)
(8)
(9)
12,000
11.
Per unit ratios
$10 12
$6
(13)
$4

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