Question
(TCO C) A tile manufacturer has supplied the following data. Tons of cement produced and sold 220,000 Sales revenue $924,000 Variable manufacturing expense $297,000 Fixed
(TCO C) A tile manufacturer has supplied the following data.
| Tons of cement produced and sold | 220,000 |
| Sales revenue | $924,000 |
| Variable manufacturing expense | $297,000 |
| Fixed manufacturing expense | $280,000 |
| Variable selling and admin expense | $165,000 |
| Fixed selling and admin expense | $82,000 |
| Net operating income | $100,000 |
Required: Calculate the company's unit contribution margin. Calculate the company's contribution margin ratio. If the company increases its unit sales volume by 5% without increasing its fixed expenses, what would the company's net operating income be?
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