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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 ......................................................... $20,000

Variable expenses ..................................... 12,000

Contribution margin .................................. 8,000

Fixed expenses ......................................... 6,000

Net operating income ............................. $ 2,000

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

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?

7. If the variable cost per unit increases by $1, spending on advertising increases by $1,500, and unit

sales increase by 250 units, what would be the net operating income?

8. What is the break-even point in unit sales?

9. What is the break-even point in sales dollars?

10. How many units must be sold to achieve a target profit of $5,000?

11. What is the margin of safety in dollars? What is the margin of safety percentage?

I am having trouble with what he wants us to put in each spot. I have most of the answers...at least I believe they are correct. If someone can just help me on what to fill in the empty cells it would be so helpful! Thank you in advance :-)

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