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Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units

Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units):

Sales $ 55,000
Variable expenses 33,000
Contribution margin 22,000
Fixed expenses 14,960
Net operating income $ 7,040

1-1. What is the contribution margin per unit?

1-2. What is the contribution margin ratio?

1-3. What is the variable expense ratio?

2-1. If sales increase to 1,001 units, what would be the increase in net operating income?

2-2. If sales decline to 900 units, what would be the net operating income?

2-3. If the selling price increases by $2 per unit and the sales volume decreased by 100 units, what would be the net operating income?

3. If the variable cost per unit increases by $1, spending on advertising increases by $1,450, and unit sales increase by 190 units, what would be the net operating income?

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