PR 3-6 (Algo) (LO 3.4) All Or Muffin company has the following financial information: All Or Muffin company has the following financial information: Revenue Variable Costs Contribution Margin Fixed Costs Operating Income Taxes Net Income 2,100,000 $ 656,250 $ 1,443,750 $ 553,750 $ 890,000 $ 240,300 $ 649,700 Question a. What is All Or Muffin's contribution margin ratio? Note: Round your answer to 2 decimals. b. What is All Or Muffin's tax rate? Note: Round your answer to 2 decimals. c. If All Or Muffin increases sales price by 10% and maintain current unit sales, what will All Or Muffin's net income be? Note: Round your answer to 2 decimals. d. If All Or Muffin increases unit sales by 10%, what will All Or Muffin's net income be? Note: Round your answer to 2 decimals. Answer 68.75 % 27.00%

PR 3-6 (Algo) (LO 3.4) All Or Muffin company has the following financial information: All Or Muffin company has the following financial information: Revenue Variable Costs Contribution Margin Fixed Costs Operating Income Taxes Net Income 2,100,000 $ 656,250 $ 1,443,750 $ 553,750 $ 890,000 $ 240,300 $ 649,700 Question a. What is All Or Muffin's contribution margin ratio? Note: Round your answer to 2 decimals. b. What is All Or Muffin's tax rate? Note: Round your answer to 2 decimals. c. If All Or Muffin increases sales price by 10% and maintain current unit sales, what will All Or Muffin's net income be? Note: Round your answer to 2 decimals. d. If All Or Muffin increases unit sales by 10%, what will All Or Muffin's net income be? Note: Round your answer to 2 decimals. Answer 68.75 % 27.00%

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter9: Responsibility Accounting And Decentralization

Section: Chapter Questions

Problem 6PA: Using the information from BDS Enterprises, prepare the income statement to include all costs, but...

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