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Last month when Holiday Creations, Inc., sold 42,000 units, total sales were $306,000, total variable expenses were $260,100, and fixed expenses were $39,300. Required: 1.
Last month when Holiday Creations, Inc., sold 42,000 units, total sales were $306,000, total variable expenses were $260,100, and fixed expenses were $39,300.
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 $1,800.
Last month when Holiday Creations, Inc., sold 42,000 units, total sales were $306,000, total variable expenses were $260,100, and fixed expenses were $39,300. Required: 1. What is the company's contribution margin (CM) ratio? ontribution margin ratio 2. Estimate the change in the company's net operating income if it were to increase its total sales by $1,800 Estimated change in net operating incomeStep by Step Solution
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