Total Per Unit Sales (7,200 units) Variable expenses $ 230,400 136,800 93,600 $ 32.00 19.00 Contribution margin $ 13.00 Fixed expenses 55,600 Net operating income $ 38,000 Required: (Consider each case independently): 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?
Total Per Unit Sales (7,200 units) Variable expenses $ 230,400 136,800 93,600 $ 32.00 19.00 Contribution margin $ 13.00 Fixed expenses 55,600 Net operating income $ 38,000 Required: (Consider each case independently): 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?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Ignore first question and answer only 2
![Per Unit
$ 32.00
19.00
$ 13.e0
Total
Sales (7,200 units)
Variable expenses
$ 230,400
136,800
Contribution margin
93,600
Fixed expenses
55,600
$ 38,000
Net operating income
Required:
(Consider each case independently):
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?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F151ee776-b847-4a38-a97a-1ec01f42e22c%2Ffa51c10e-9ad6-464a-b892-65c48a2e5cc6%2F78zrigg_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Per Unit
$ 32.00
19.00
$ 13.e0
Total
Sales (7,200 units)
Variable expenses
$ 230,400
136,800
Contribution margin
93,600
Fixed expenses
55,600
$ 38,000
Net operating income
Required:
(Consider each case independently):
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?
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