Sales (4,000 units)		$200,000
Variable expenses		110,000
Contribution margin		90,000
Fixed expenses		48,000
Net operating income		$42,000	Use Excel to do your calculations.
If the selling price decreases by $4 per unit and the sales volume increases by 200 units, what would be the estimated net operating income?
If the variable cost per unit decreases by $5, spending on advertising increases by $4,000, and unit sales increase by 450 units, what would be the estimated net operating income?
What is the break-even point in dollar sales?
Estimate how many units must be sold to achieve a target profit of $60,000.