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Exercise 6-1 (Algo) The Effect of Changes in Sales Volume on Net Operating Income [LO6-1] Whirly Corporation's contribution format income statement for the most recent
Exercise 6-1 (Algo) The Effect of Changes in Sales Volume on Net Operating Income [LO6-1] Whirly Corporation's contribution format income statement for the most recent month is shown below. Variable expenses Total $284,800 169,100 115,700 Per Unit Sales (8,900 units) Contribution margin $ 32.00 19.00 $13.00 Fixed expenses 55,100 Net operating income $ 60,600 Required: (Consider each case independently): 1. What would be the revised net operating income per month if the sales volume increases by 60 units? 2. What would be the revised net operating income per month if the sales volume decreases by 60 units? 3. What would be the revised net operating income per month if the sales volume is 7,900 units? 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income
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