A). Joes Sportsware Co. wants to see what the impact of some changes will be on the operating income of the business. They would like to increase the contribution margin by 10% per unit and the fixed costs would be decreased by 20%. Answer: Last year they sold 3.000 units for $210,000. The variable cost was $50 per unit and the Eixed costs were $25,000. If the proposed changes are made, what will be the amount of increase or decrease to the operating income. Prepare you answer using the incremental approach. (3 marks) Incremental contribution margin: 150,000 Less: Incremental expense I B) Olympic Corporation produces and sells two products A-line and Graphic. The information for the 2 products for one month is: Selling Price per Unit Variable Production Costs per unit Variable Selling Expense per Unit Expected Monthly Sales in Units Total Monthly Fixed Cost A-line Graphic $150 $ 165 $120 $ 126 $ 16 $ 13 600 1,200 $15,000 B) Olympic Corporation produces and sells two products A-line and Graphic. The information for the 2 products for one month is: A-line Selling Price per Unit $150 Graphic $ 165 Variable Production Costs per unit $120 $ 126 Variable Selling Expense per Unit $ 16 $ 13. Expected Monthly Sales in Units 600 1,200 Total Monthly Fixed Cost $15,000 i) Calculate the operating income for the company for one month. (5 marks) A chart has been provided to assist with calculations. A-line Graphic Olympic Co