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Fargo Company prepared the following contribution format income statement based on a sales volume of 2,000 units (the relevant range of production is 1,000 units

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Fargo Company prepared the following contribution format income statement based on a sales volume of 2,000 units (the relevant range of production is 1,000 units to 2,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income $55,000 36,000 19,000 10,400 $ 8, 600 5. If sales decline to 1,850 units, what would be the net operating income? 6. If the selling price increases by $1.50 per unit and the sales volume decreases by 250 units, what would be the net operating income? 7. If the variable cost per unit increases by $1.25, spending on advertising increases by $2,050, and unit sales increase by 225 units, what would be the net operating income? 8. What is the break-even point in unit sales

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