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):         Sales $ 20,000 Variable expenses   13,000 Contribution margin   7,000 Fixed expenses   3,780 Net operating income $ 3,220     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
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Chapter1: Financial Statements And Business Decisions
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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):

 

     
Sales $ 20,000
Variable expenses   13,000
Contribution margin   7,000
Fixed expenses   3,780
Net operating income $ 3,220
 

 

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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