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Cullumber Markets imports and sells small bear-shaped piatas. In planning for the coming year, the companys owner is evaluating several scenarios. For each scenario under
Cullumber Markets imports and sells small bear-shaped piatas. In planning for the coming year, the companys owner is evaluating several scenarios. For each scenario under consideration, prepare a contribution margin income statement showing the anticipated operating income. Consider each scenario is applied independently to the original data. Last years income statement is as follows:
Total Per Unit Sales revenue $ 900,000 $ 20.00 Variable expenses 450,000 10.00 Contribution margin 450,000 $ 10.00 Fixed expenses 175,000 Operating income $ 275,000 The sales price increases by 10% and sales volume decreases by 6%. (Round per unit answers to 2 decimal places, e.g. 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ $ ta Variable expenses Contribution margin ta Fixed expenses Operating income $ (b) The sales price increases by 10% and variable cost per unit increases by 6%. (Round per unit answers to 2 decimal places, e.g. 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ $ Variable expenses Contribution margin $ Fixed expenses Operating income $ (c) The sales price decreases by 5% and sales volume increases by 15%. (Round per unit answers to 2 decimal places, e.g. 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ $ Variable expenses Contribution margin $ Fixed expenses Operating income $ (d) Fixed expenses increase by $50,000. (Round per unit answers to 2 decimal places, e.g. 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ $ Variable expenses Contribution margin $ ta Fixed expenses Operating income $ (e) The sales price increases by 12%, variable cost per unit increases by 15%, fixed expenses increase by $ 30,000, and sales volume decreases by 15%. (Round per unit answers to 2 decimal places, e.g. 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ $ Variable expenses Contribution margin $ Fixed expenses Operating income $
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