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6 Skipped Assume the following information: Sales Variable expenses Contribution margin Fixed expenses Net operating income Amount $ 300,000 120,000 Per Unit $ 40 16

6 Skipped Assume the following information: Sales Variable expenses Contribution margin Fixed expenses Net operating income Amount $ 300,000 120,000 Per Unit $ 40 16 180,000 $ 24 106,000 $ 74,000 If the selling price per unit increases by 10% and unit sales drop by 5%, then the best of estimate of the new net operating income is: Multiple Choice $86,700. $82.900

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