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Exercise 6-13 (Algo) Changes in Selling Price, Sales Volume, Variable Cost per Unit, and Total Fixed Costs [LO6-1, LO6-4] Miller Company's contribution format income
Exercise 6-13 (Algo) Changes in Selling Price, Sales Volume, Variable Cost per Unit, and Total Fixed Costs [LO6-1, LO6-4] Miller Company's contribution format income statement for the most recent month is shown below Sales (32,000 units) Variable expenses Fixed expenses Contribution margin nces Net operating income Required: Total $ 192,000 96,000 Per Unit $ 6.00 96,000 3.00 $ 3.00 46,000 $ 50,000 (Consider each case independently) 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 $1.20 per unit and the number of units sold increases by 16%? 3. What is the revised net operating income if the selling price increases by $1.20 per unit, fixed expenses increase by $5,000, and the number of units sold decreases by 6% ? 4. What is the revised net operating income if the selling price per unit increases by 20% variable expenses increase by 30 cents per unit, and the number of units sold decreases by 10% ? 1. Net operating income 1. Net operating income 2. Net operating income 3. Net operating income 4. Net operating income
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