Question
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 | $ | 24,200 |
Variable expenses | 13,400 | |
Contribution margin | 10,800 | |
Fixed expenses | 7,668 | |
Net operating income | $ | 3,132 |
1.How many units must be sold to achieve a target profit of $6,966? (Do not round intermediate calculations.) Number of units______? 2..What is the margin of safety in dollars? (Do not round intermediate calculations.) Margin of Safety____? 3.What is the margin of safety percentage? (Round your final answers to the nearest whole percentage (i.e, .12 should be entered as 12).) MArgin of safety _______%? |
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