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1-4 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

1-4

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 $ 25,000
Variable expenses 17,500
Contribution margin 7,500
Fixed expenses 4,200
Net operating income $ 3,300

What is the contribution margin per unit?

What is the contribution margin ratio?

What is the variable expense ratio?

f sales increase to 1,001 units, what would be the increase in net operating income?

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