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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

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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 statement for the most recent month is shown below: Sales (44,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: Total $ 264,000 132,000 Per Unit $ 6.00 132,000 3.00 $ 3.00 50,000 $ 82,000 (Consider each case independently): 1. What is the revised net operating income if unit sales increase by 10%? 2. What is the revised net operating income if the selling price decreases by $1.40 per unit and the number of units sold increases by 21%? 3. What is the revised net operating income if the selling price increases by $1.40 per unit, fixed expenses increase by $5,000, and the number of units sold decreases by 4%? 4. What is the revised net operating income if the selling price per unit increases by 10%, variable expenses increase by 10 cents per unit, and the number of units sold decreases by 14%? 1. Net operating income 2. Net operating income 3. Net operating income. 4. Net operating income

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