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2 Exercise 5-13 (Algo) Changes in Selling Price, Sales Volume, Variable Cost per Unit, and Total Fixed Costs [LO5-1, LO5-4) Miller Company's contribution format income

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2 Exercise 5-13 (Algo) Changes in Selling Price, Sales Volume, Variable Cost per Unit, and Total Fixed Costs [LO5-1, LO5-4) Miller Company's contribution format income statement for the most recent month is shown below: Total Per Unit Sales (39.000 units $ 390,000 $10.00 Variable expenses 273,000 7.00 Contribution margin 117,000 $ 3.00 Fixed expenses 49,000 Het operating income $ 69.000 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 $1.30 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 $1.30 per unit, fixed expenses increase by $8,000, and the 4. What is the revised net operating income if the selling price per unit increases by 20%, Variable expenses increase by 30 cents per unit, and the number of units sold decreases by 9%? 1. Net operating income 2. Not operating income 3. Net operating income 4. Net operating income

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