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Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units):

Sales	$	30,000
Variable expenses		16,500
Contribution margin		13,500
Fixed expenses		7,830
Net operating income	$	5,670

1. If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income?

2. If the variable cost per unit increases by $1, spending on advertising increases by $1,200, and unit sales increase by 140 units, what would be the net operating income?

3. What is the break-even point in unit sales?

4. What is the break-even point in dollar sales?

5. How many units must be sold to achieve a target profit of $8,100?

6. What is the margin of safety in dollars? What is the margin of safety percentage?

7. What is the degree of operating leverage? (Round your answer to 2 decimal places.)

8. Using the degree of operating leverage, what is the estimated percent increase in net operating income of a 5% increase in sales? (Round your intermediate calculations and final answer to 2 decimal places.)

9. Assume that the amounts of the companys total variable expenses and total fixed expenses were reversed. In other words, assume that the total variable expenses are $7,830 and the total fixed expenses are $16,500. Under this scenario and assuming that total sales remain the same, what is the degree of operating leverage? (Round your answer to 2 decimal places.)

10. Assume that the amounts of the companys total variable expenses and total fixed expenses were reversed. In other words, assume that the total variable expenses are $7,830 and the total fixed expenses are $16,500. Given this scenario and assuming that total sales remain the same. Using the degree of calculated operating leverage, what is the estimated percent increase in net operating income of a 5% increase in sales? (Round your intermediate calculations and final answer to 2 decimal places.)

11.