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APER prioration The that will dech m ent that this to the Perched CVP In f o 2000 Per Question 4 View Policies Current Attempt

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APER prioration The that will dech m ent that this to the Perched CVP In f o 2000 Per Question 4 View Policies Current Attempt in Progress Carey Company had sales in 2019 of $1,851.000 on 61.700 units. Variable costs totaled $1.110.500, and foxed costs totaled $519.000 A new raw material is available that will decrease the variable costs per unit by 20% for $3.60. However, to process the new raw material, foed operating costs will increase by 597000. Management feels that one-half of the decline in the variable costs per unit should be passed on to customers in the form of a sales price reduction. The marketing department expects that this sales price reduction will result in a 5% increase in the number of units sold (a) Prepare a projected CVP income statement for 2020, assuming the changes have not been made CAREY COMPANY CVP Income Statement Total Per Unit (b) Prepare a projected CVP income statement for 2020, assuming that changes are made as described. (Round per unit cost to 2 decimal places, s. 5.25 and all other answers to decimal places 1,225.) CAREY COMPANY CVP Income Statement Total Per Unit

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