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e player EXERCISE 6-13 Changes in Selling Price, Sales Volume, Variable Cost per Unit, and Total Fised Costs Lo6-1 Miller Company's contribution format income statement

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e player EXERCISE 6-13 Changes in Selling Price, Sales Volume, Variable Cost per Unit, and Total Fised Costs Lo6-1 Miller Company's contribution format income statement for the most recent month is shown below Total Per Unit Sales (20,000 units) $300,000 $15.00 Variable expenses 180,000 9.0 Contribution margin 120,000 6.00 Fwed expenses 70,000 Net operating income 50.000 Page 254 Consider each case independentlyk 1 , what is the revised net operating income if unit sales increase by 15% ? 2 What is the revised net operating income if the selling price decreases by S1 50 per unit and the number of units sold increases by 25%? 3. What is the revised net operating income if the selling price increases by S1.50 per unit, fixed expenses increase by $20,000 and the number of units sold decreases by 5%? What is the revised net operating income if the selling price per unit increases by 12, variahle expenses increase by 6o cents per unit, and the number of unats sold decreases by 10 EXERCISE 6-14 Break-Even and Target Profit Analysis L06-3 g, LO6-4 . L06-5(3. LO6-6/3 Lindos Company is the exclusive distributios for an automotive peosduct that sells for S40 por onit and bas a CM ratio of s0%. The company'sfixed expenses are SISDOXNI per year The compaty plans to sell 16.000 nits this year Required 888 , 0

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