Question
Rozellas income statement is as follows: Sales (10,000 units) $80,000 Less variable costs - 48,000 Contribution margin $32,000 Less fixed costs - 24,000 Net income
Rozellas income statement is as follows:
| Sales (10,000 units) | $80,000 |
| Less variable costs | - 48,000 |
| Contribution margin | $32,000 |
| Less fixed costs | - 24,000 |
| Net income | $ 8,000 |
If sales increase by $15,000, profits will:
c. Increase by $6,000.
The Answer is C, I need help on how to get there, please.
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E Commerce Operational Aspects Accounting Auditing And Taxation Issues
Authors: Lata Sharma
1st Edition
8177084097, 978-8177084092
