Chapter 6, Problem 5F15

Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units):

Sales……………………………………………..$20,000
Variable expense………………………….. 12,000
Contribution margin…………………….. 8,000
Fixed expenses…………………………….. 6,000
Net operating income…………………..$ 2,000

Required
(Answer each question independently and always refer to the original date unless instructed otherwise.)