Question
Last month when Holiday Creations, Inc., sold 41,000 units, total sales were $306,000, total variable expenses were $253,980, and fixed expenses were $38,600. Required: 1.
| Last month when Holiday Creations, Inc., sold 41,000 units, total sales were $306,000, total variable expenses were $253,980, and fixed expenses were $38,600. |
| Required: | |
| 1. | What is the companys contribution margin (CM) ratio? |
| 2. | Estimate the change in the companys net operating income if it were to increase its total sales by $1,900. |
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Financial Accounting An International Introduction
Authors: David Alexander
2nd Edition
9780273685203
