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 Variable expenses Contribution margin Fixed expenses Net operating income $ Net operating income $ 22,400 12,800 9,600 7,968 1,632 Required: If the selling price increased by $1.70 per unit and the sales volume decreased by 100 units, what would be the net operating income? (Do not round intermediate calculations.)
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 Variable expenses Contribution margin Fixed expenses Net operating income $ Net operating income $ 22,400 12,800 9,600 7,968 1,632 Required: If the selling price increased by $1.70 per unit and the sales volume decreased by 100 units, what would be the net operating income? (Do not round intermediate calculations.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text: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
Variable expenses
Contribution margin
Fixed expenses
Net operating income
$
Net operating income
$
22,400
12,800
9,600
7,968
1,632
Required:
If the selling price increased by $1.70 per unit and the sales volume decreased by 100 units, what would be the net operating income?
(Do not round intermediate calculations.)
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