Question
Cullumber Markets imports and sells small bear-shaped piatas. In planning for the coming year, the company's owner is evaluating several scenarios. Prepare a contribution margin
Cullumber Markets imports and sells small bear-shaped piatas. In planning for the coming year, the company's owner is evaluating several scenarios. Prepare a contribution margin income statement for each scenario under consideration showing the anticipated operating income. Consider each scenario is applied independently to the original data.
Last year's income statement is as follows: Total Per Unit Sales revenue $820,000 $20.00 Variable expenses 451,000 11.00 Contribution margin 369,000 $9.00 Fixed expenses 175,000 Operating income $194,000 The sales price increases by 10% and sales volume decreases by 6%. (Round per unit answer 2 decimal places, e.g., 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ (b) Variable expenses Contribution margin $ Fixed expenses Operating income $
The sales price increases by 10% and variable cost per unit increases by 6%. (Round per unit answersto 2 decimal places, e.g. 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ $ Variable expenses Contribution margin $ Fixed expenses Operating income $
The sales price decreases by 5% and sales volume increases by 15%. (Round per unit answersto 2 decimal places, e.g. 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ $ Variable expenses Contribution margin $ Fixed expenses Operating income $
Fixed expenses increase by $40,000. (Round per unit answersto 2 decimal places, e.g. 0.38.) Cullumber Markets Income Statement Total Per Unit Sales $ $ Variable expenses Contribution margin $ Fixed expenses Operating income $
The sales price increases by 12%, variable cost per unit increases by 20%, fixed expenses increase by $30,000, and sales volume decreases by 15%. (Round per unit answersto 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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