21.2

Phoenlx Company's 2019 master budget Included the following fixed budget report. It is based on an expected production and sales volume of 15,000 units. 3. The company's business conditions are Improving. One possible result is a sales volume of 18,000 units. The company president is confident that this volume is within the relevant range of existing capacity. How much would operating income Increase over the budgeted amount of $159,000 If this level is reached without Increasing capacity? \begin{tabular}{|l|r|r|r|} \hline \multicolumn{2}{|c|}{ PHOENIX COMPANY } \\ \hline \multicolumn{2}{|c|}{ Forecasted Contribution Margin Income Statement } \\ \hline \multicolumn{2}{|c|}{ For Year Ended December 31, 2019 } \\ \hline Sales (in units) & 15,000 & 18,000 \\ \hline Contribution margin (per unit) & & \\ \hline Contribution margin & & & \\ \hline Fixed costs & & & \\ \hline Operating income & & \\ \hline \end{tabular}