Provide correct answer the general accounting Mildura Pty Ltd produced and sold 45,000 units of a singleproduct last year. Data concerning the year's income statementis as follows:Sales revenueManufacturing costs:$1,350,000Variable$585,000Fixed$270,000Selling costs:Variable costs$40,500Fixed costs$54,000Administrative costs:Variable costs$184,500$108,000Fixed costsAssuming sales revenue increases by 15 percent, what will bethe percentage increase in profits before income taxes?

Step 1: Define Cost-Volume-Profit (CVP) AnalysisThe cost-volume-profit (CVP) analysis is usually…

Answered: Mildura Pty Ltd produced and sold…

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter6: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 11E

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Whirly Corporation's contribution format income statement for the most recent month is shown below: Sales (7,400 units) Variable expenses Contribution margin Fixed expenses Net operating income Total $ 236,800 140,600 96,200 54,300 $ 41,900 Per Unit $32.00 19.00 $13.00 Required: (Consider each case independently): 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income 1. What would be the revised net operating income per month if the sales volume increases by 80 units? 2. What would be the revised net operating income per month if the sales volume decreases by 80 units? 3. What would be the revised net operating income per month if the sales volume is 6,400 units?
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What is the contribution margin per unit of this general accounting question?

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