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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 | $ | 24,500 |
Variable expenses | 13,500 | |
Contribution margin | 11,000 | |
Fixed expenses | 7,700 | |
Net operating income | $ | 3,300 |
Required:
If the selling price increased by $2.50 per unit and the sales volume decreased by 100 units, what would be the net operating income? (Do not round intermediate calculations.)
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