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Sunn Company manufactures a single product that sells for $145 per unit and whose variable costs are $87 per unit . The company's annual fixed
Sunn Company manufactures a single product that sells for $145 per unit and whose variable costs are $87 per unit . The company's annual fixed costs are $638,000. The sales manager predicts that next year's annual sales of the company's product will be 40,800 units at a price of $208 per unit. Variable costs are predicted to increase to $148 per unit, but fixed costs will remain at $638,000. What amount of income can the company expect to earn under these predicted changes? Prepare a contribution margin income statemer:t for the next year. SUNN COMPANY Contribution Margis Income Statement Units S per unit Contribution margin
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