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Alpha Electronics has the following income statement: Sales 400,000 Total variable costs 240,000 Contribution margin 160,000 Fixed costs 140,000 EBIT 20,000 Calculate the new EBIT
Alpha Electronics has the following income statement:
| Sales | 400,000 |
| Total variable costs | 240,000 |
| Contribution margin | 160,000 |
| Fixed costs | 140,000 |
| EBIT | 20,000 |
Calculate the new EBIT and percent change, assuming:
Sales increase by 20%
Sales decrease by 20%
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