Homework Help is Here – Start Your Trial Now!
Business
Accounting
Zot Corporation has provided the following contribution format income statement Revenue (500 units) $150,000 Variable Costs $110.000 Contribution Margin $40,000 Fixed Costs $32,000 Operating Proft $8,000 If fixed costs increased by $12,000, how many more units must Zot Corporation sell in order to maintain the same level of operating profit (choose the closest answer)? O 170 units O 50 units O 250 units O 73 units O 80 units 90 units O 100 units D 150 units

Zot Corporation has provided the following contribution format income statement Revenue (500 units) $150,000 Variable Costs $110.000 Contribution Margin $40,000 Fixed Costs $32,000 Operating Proft $8,000 If fixed costs increased by $12,000, how many more units must Zot Corporation sell in order to maintain the same level of operating profit (choose the closest answer)? O 170 units O 50 units O 250 units O 73 units O 80 units 90 units O 100 units D 150 units

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

1.

 

Zot Corporation has provided the following contribution format income statement: Revenue (500 units) $150.000 Variable Costs $110,000 Contribution Margin $40,000 Fixed Costs $32,000 Operating Profit $8,000 If fixed costs increased by $12,000, how many more units must Zot Corporation sell in order to maintain the same level of operating profit (choose the closest answer)? O 170 units 50 units O 250 units O 73 units O 80 units 90 units 100 units O 150 units
Transcribed Image Text:Zot Corporation has provided the following contribution format income statement: Revenue (500 units) $150.000 Variable Costs $110,000 Contribution Margin $40,000 Fixed Costs $32,000 Operating Profit $8,000 If fixed costs increased by $12,000, how many more units must Zot Corporation sell in order to maintain the same level of operating profit (choose the closest answer)? O 170 units 50 units O 250 units O 73 units O 80 units 90 units 100 units O 150 units
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Capital Gains and Losses
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS