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Miller Company s contribution format income statement for the most recent month is shown below: Total Per Unit Sales ( 2 4 , 6 0

Miller Companys contribution format income statement for the most recent month is shown below:
Total Per Unit
Sales (24,600 units) $ 221,400 $ 9.00
Variable expenses 132,8405.40
Contribution margin 88,560 $ 3.60
Fixed expenses 51,660
Net operating income $ 36,900
Required:
(Consider each of the four requirements independently):
Assume the sales volume increases by 3,936 units:
What is the revised net operating income?
What is the percent increase in unit sales?
Using the most recent months degree of operating leverage, what is the percent increase in net operating income?
What is the revised net operating income if the selling price decreases by $1.30 per unit and the number of units sold increases by 18%?
What is the revised net operating income if the selling price increases by $1.30 per unit, fixed expenses increase by $9,000, and the number of units sold decreases by 5%?
What is the revised net operating income if the selling price per unit increases by 10%, variable expenses increase by 20 cents per unit, and the number of units sold decreases by 9%?

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