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Engberg Company installs lawn sod in home yards. The companys most recent monthly contribution format income statement follows: Amount Percent of Sales Sales $ 80,000
Engberg Company installs lawn sod in home yards. The companys most recent monthly contribution format income statement follows:
Amount | Percent of Sales | |
---|---|---|
Sales | $ 80,000 | 100% |
Variable expenses | 32,000 | 40% |
Contribution margin | 48,000 | 60% |
Fixed expenses | 38,000 | |
Net operating income | $ 10,000 |
Required:
Construct a new contribution format income statement for the company assuming a 5% increase in unit sales.
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