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Miller Company's contribution format income statement for the most recent month is shown below: Sales (44,000 units) Variable expenses Total Contribution margin $ 308,000

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Miller Company's contribution format income statement for the most recent month is shown below: Sales (44,000 units) Variable expenses Total Contribution margin $ 308,000 176,000 132,000 Per Unit $ 7.00 4.00 $ 3.00 Fixed expenses 40,000 Net operating income $ 92,000 Required: (Consider each case independently): 1. What is the revised net operating income if unit sales increase by 19% ? 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 18%? 3. What is the revised net operating income if the selling price increases by $1.20 per unit, fixed expenses increase by $8,000, 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 20%, variable expenses increase by 40 cents per unit, and the number of units sold decreases by 9% ?

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