Whirly Corporation's contribution format income statement for the most recent month is shown below: Per Unit $ 33.00 19.00 $14.00 Sales (7,400 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: (Consider each case independently): Total $ 244,200 140,600 103,600 55,600 $ 48,000 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?
Whirly Corporation's contribution format income statement for the most recent month is shown below: Per Unit $ 33.00 19.00 $14.00 Sales (7,400 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: (Consider each case independently): Total $ 244,200 140,600 103,600 55,600 $ 48,000 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?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Whirly Corporation's contribution format income statement for the most recent month is shown below:
Per Unit
$ 33.00
19.00
$14.00
Sales (7,400 units)
Variable expenses
Contribution margin
Fixed expenses
Net operating income
Required:
(Consider each case independently):
Total
$ 244,200
140,600
103,600
55,600
$ 48,000
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?
1. Revised net operating income
2. Revised net operating income
3. Revised net operating income
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