Item 1

Sorin Inc., a company that produces and sells a single product, has provided its contribution format income statement for January.

Sales (3,700 units)	$	92,500
Variable expenses		55,500
Contribution margin		37,000
Fixed expenses		27,000
Net operating income	$	10,000

If the company sells 4,300 units, its total contribution margin should be closest to: (Do not round intermediate calculations.)

Brewer 8e Rechecks 2018-06-19

Multiple Choice

• $37,000
• $43,000
• $56,000
• $11,622