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Star Company's contribution format income statement for the most recent month is as follows: Total Sales (20,000 units) $300,000 Variable expenses [80.000 Contribution margin 120,000
Star Company's contribution format income statement for the most recent month is as follows:
Total Sales (20,000 units) $300,000 Variable expenses [80.000 Contribution margin 120,000 Fixed expenses 70.000 Net operating income $ 50.000 Per Unit $15.00 E \"A (Consider each case independently): 1. What is the revised net operating income if unit sales increase by 15%? 2. What is the revised net operating income if the selling price decreases by $1.50 per unit and the number of units sold increases by 25%? 3 . What is the revised net operating income if the selling price increases by $1.50 per unit. xed expenses increase by 5520.000. and the number of units sold decreases by 5%? 4. What is the revised net operating income if the selling price per unit increases by 12%. variable expenses increase by 60 cents per unit. and the number of units sold decreases by 10%Step by Step Solution
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