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Miller Company's contribution format income statement for the most recent month is shown below. Contribution margin Sales (35,000 units) Variable expenses Fixed expenses Net
Miller Company's contribution format income statement for the most recent month is shown below. Contribution margin Sales (35,000 units) Variable expenses Fixed expenses Net operating incone Required: Total $245,000 140,000 Per Unit 105,000 $7.00 4.00 $ 3.00 49,000 $ 56,000 (Consider each case independently): 1. What is the revised net operating income if unit sales increase by 10%? 2. What is the revised net operating income if the selling price decreases by $1.20 per unit and the number of units sold increases by 20%? 3. What is the revised net operating income if the selling price increases by $1.20 per unit, fixed expenses increase by $10,000, and the number of units sold decreases by 5%? 4. What is the revised net operating income if the selling price per unit increases by 10%, variable expenses increase by 30 cents per unit, and the number of units sold decreases by 11%? 1. Net operating income 2. Net operating income 3. Net operating income 4. Net operating income
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