Question
question#1 abc companys most recent contribution format income statement is shown below: total per unit sales (20,000 units) $300,000 $15 less variable expenses 180,000 contribution
question#1 abc companys most recent contribution format income statement is shown below: total per unit sales (20,000 units) $300,000 $15 less variable expenses 180,000 contribution margin 120,000 6 less fixed expenses 70,000 net operating income $50,000 required: prepare a new contribution format income statement under each of the following conditions. a) sales volume increases by 15%. b) selling price decreases by $1.5 per unit, and sales volume increases by 25%. c) selling price increases by $1.5 per unit, fixed expenses increases by $20,000, and the sales volume decreases by 5%. d) selling price increases by 12%, variable expense increases by 60% per unit, and sales volume decreases by 10 %.
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