Exercise 5-2 (Algo) The Effect of Changes in Unit Sales on Net Operating Income [LO5-2] Whirly Corporation's contribution format Income statement for the most recent month is shown below: Per Unit $ 33.00 20.00 $ 13.00 Sales (8,200 units) variable expenses Contribution margin Fixed expenses Net operating income Required: Consider each case Independently): Total $ 270,600 164,000 106,600 55,800 $ 50,800 1. What would be the revised net operating Income per month if the sales volume increases by 50 units? 2. What would be the revised net operating Income per month if the sales volume decreases by 50 units? 3. What would be the revised net operating Income per month if the sales volume is 7,200 units? 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income

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Chapter1: Financial Statements And Business Decisions
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Exercise 5-2 (Algo) The Effect of Changes in Unit Sales on Net Operating Income [LO5-2]
Whirly Corporation's contribution format Income statement for the most recent month is shown below:
Per Unit
$ 33.00
20.00
$13.00
sales (8,200 units)
Variable expenses
Contribution margin
Fixed expenses
Net operating income
Required:
Consider each case Independently):
Total
$ 270,600
164,000
1. Revised net operating income
2. Revised net operating income
3. Revised net operating income
106,600
55,800
$ 50,800
1. What would be the revised net operating Income per month if the sales volume increases by 50 units?
2. What would be the revised net operating Income per month if the sales volume decreases by 50 units?
3. What would be the revised net operating Income per month if the sales volume is 7,200 units?
Transcribed Image Text:Exercise 5-2 (Algo) The Effect of Changes in Unit Sales on Net Operating Income [LO5-2] Whirly Corporation's contribution format Income statement for the most recent month is shown below: Per Unit $ 33.00 20.00 $13.00 sales (8,200 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: Consider each case Independently): Total $ 270,600 164,000 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income 106,600 55,800 $ 50,800 1. What would be the revised net operating Income per month if the sales volume increases by 50 units? 2. What would be the revised net operating Income per month if the sales volume decreases by 50 units? 3. What would be the revised net operating Income per month if the sales volume is 7,200 units?
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