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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 Variable expenses Contribution margin Fixed expenses Net operating income $ 30,000 16,500 13,500 7,830 $ 5,670 Required: 1. What is the contribution margin per unit? (Round your answer to 2 decimal places.) Contribution margin par unit 2. What is the contribution margin ratio? Contribution margin ratio % 6. If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income? Not operating income 7. If the variable cost per unit increases by $1. spending on advertising increases by $1.200, and unit sales increase by 140 units, what would be the net operating income? Net operating income 8. What is the break-even point in unit sales? Break-even point units 9. What is the break-even point in dollar sales? Break-even point 10. How many units must be sold to achieve a target profit of $8,100? Number of units 11. What is the margin of safety in dollars? What is the margin of safety percentage? Margin of safety in dollars Margin of safety percentage %
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