Whirly Corporation's contribution format income statement for the most recent month is shown below:Sales (7,400 units)Contribution marginTotalVariable expenses$ 229,400140,60088,800Per Unit$ 31.0019.00$ 12.00Fixed expenses55,700Net operating income$ 33,100Required:(Consider each case independently):1. What would be the revised net operating income per month if the sales volume increases by 60 units?2. What would be the revised net operating income per month if the sales volume decreases by 60 units?3. What would be the revised net operating income per month if the sales volume is 6,400 units?1. Revised net operating income2. Revised net operating income3. Revised net operating income

The objective of the question is to calculate the revised net operating income for Whirly…

Answered: Whirly Corporation's contribution…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Similar questions

Creswell Corporation's fixed monthly expenses are $26,000 and Its contribution margin ratio is 60%. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's net operating Income in a month when sales are $84,000? Multiple Choice O $7,600 $50,400 $24.400 $58.000
Whirly Corporation's contribution format income statement for the most recent month is shown below: Sales (8,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Total $ 272,000 152, 000 120, 000 54,700 $ 65,300 Required: (Consider each case independently): Per Unit $34.00 19.00 $15.00 1. What would be the revised net operating income per month if the sales volume increases by 70 units? 2. What would be the revised net operating income per montii if the sales volume decreases by 70 units? 3. What would be the revised net operating income per month if the sales volume is 7.000 units?
Miller Company's contribution format income statement for the most recent month is shown below: Total Per Unit $ 10.00 $ 350,000 7.00 $ 3.00 Sales (35,000 units) Variable expenses Contribution margin Fixed expenses Net operating income 245,000 105,000 41,000 $ 64,000 Required: (Consider each case independently): 1. What is the revised net operating income if unit sales increase by 15%? 2. What is the revised net operating income if the selling price decreases by $1.20 per unit and the number of units sold increases by 19%? 1. Net operating income 2. Net operating income 3. Net operating income 4. Net operating income 3. What is the revised net operating income if the selling price increases by $1.20 per unit, fixed expenses increase by $7,000, and the number of units sold decreases by 6%? 4. What is the revised net operating income if the selling price per unit increases by 10%, variable expenses increase by 30 cents per unit, and the number of units sold decreases by 10%? Benit www.…
Miller Company's contribution format income statement for the most recent month is shown below: Per Unit $8.00 5.00 $1.00 Sales (39,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: (Consider each case Independently) Total $312,000 195,000 117,000 41,000 $76,000 1. What is the revised net operating income if unit sales increase by 18%3 2. What is the revised net operating income if the selling price decreases by $110 per unit and the number of units sold increases by 19%7 3. What is the revised net operating income if the selling price increases by $1.10 per unit, fixed expenses increase by $7,000, and the number of units sold decreases by 2%7 4. What is the revised net operating income if the selling price per unit increases by 10%, variable expenses increase by 40 cents per unit, and the number of units sold decreases by 10%? 1. Net operating income 2. Net operating income 3. Net operating income 4. Net operating income
Whirly Corporation's contribution format income statement for the most recent month is shown below: Total $ 308,000 Per Unit $ 35.00 176,000 20.00 $15.00 Sales (8,800 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: (Consider each case independently): 132,000 54,400 $ 77,600 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? 3. What would be the revised net operating income per month if the sales volume is 7,800 units? 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income
Last month when Holiday Creations, Incorporated, sold 36,000 units, total sales were $144,000, totai variable expenses were $109,440, and fixed expenses were $38,500. Required: 1. What is the company's contribution margin (CM) ratio? 2. What is the estimated change in the company's net operating income if it can increase sales volume by 450 units and total sales by $1,800? (Do not round intermediate calculations.) 1. Contribution margin ratio 2. Estimated change in net operating income
Whirly Corporation's contribution format income statement for the most recent month is shown below: Total $ 222,000 140,600 81,400 55,900 Per Unit $ 30.00 19.00 $ 11.00 $ 25,500 Sales (7,400 units) Variable expenses Contribution margin Fixed expenses 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 60 units? 2. What would be the revised net operating income per month if the sales volume decreases by 60 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
Bolding Inc's contribution margin ratio is 64% and its fixed monthly expenses are $44,500. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's net operating income in a month when sales are $131,000?
Miller Company's contribution format income statement for the most recent month is shown below: Per Unit $ 7.00 4.00 $ 3.00 Sales (40,000 units) Variable expenses Contribution margin. Fixed expenses Net operating income Required: (Consider each case independently): Total $ 280,000 160,000 120,000 49,000 $ 71,000 1. What is the revised net operating income if unit sales increase by 19%? 2. What is the revised net operating income if the selling price decreases by $1.50 per unit and the number of units sold increases by 19%? 3. What is the revised net operating income if the selling price increases by $1.50 per unit, fixed expenses increase by $8,000, and the number of units decreases by 6%? 4. What is the revised net operating income if the selling price per unit increases by 20%, variable expenses increase by 20 cents per unit, and the number of units sold decreases by 13%?
Miller Company's contribution format income statement for the most recent month is shown below: Per Unit $ 6.00 3.60 $ 2.40 Sales (30,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Total $ 180,000 108,000 72,000 42,000 $ 30,000 Required: (Consider each of the four requirements independently): 1. Assume the sales volume increases by 4,800 units: a. What is the revised net operating income? b. What is the percent increase in unit sales? c. Using the most recent month's degree of operating leverage, what is the percent increase in net operating income? 2. What is the revised net operating income if the selling price decreases by $1.20 per unit and the number of units sold increases by 22%? 3. What is the revised net operating income if the selling price increases by $1.20 per unit, fixed expenses increase by $7,000, and the number of units sold decreases by 7%? 1a. Net operating income 1b. Percent increase in unit sales 4. What is the revised net…
Miller Company's contribution format income statement for the most recent month is shown below: Total Per Unit $ 297,000 $9.00 198,000 6.00 99,000 $ 3.00 Sales (33,000 units) Variable expenses Contribution margin Fixed expenses Net operating income 40,000 $ 59,000 Required: (Consider each case independently): 1. What is the revised net operating income if unit sales increase by 13%? 2. What is the revised net operating income if the selling price decreases by $1.20 per unit and the number of units sold increases by 21%? 3. What is the revised net operating income if the selling price increases by $1.20 per unit, fixed expenses increase by $10,000, and the number of units sold decreases by 5%? 4. What is the revised net operating income if the selling price per unit increases by 20%, variable expenses increase by 20 cents per unit, and the number of units sold decreases by 13%? 1. Net operating income 2. Net operating income 3. Net operating income 4. Net operating income X
Whirly Corporation's contribution format income statement for the most recent month is shown be Total $ 254, 200 147,600 Per Unit Sales (8,200 units) Variable expenses $ 31.00 18.00 Contribution margin 106,600 $ 13.00 Fixed expenses 54,200 Net operating income $ 52,400 Required: (Consider each case independently): 1. What would be the revised 2. What would be the revised net operating income per month if the sales volume decreases by 60 units? 3. What would be the revised net operating income per month if the sales volume is 7,200 units? operating income per month if the sales volume increases by 60 units? 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income Pr [O ere to search

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