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[The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000
[The following information applies to the questions displayed below.] |
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 | $ | 20,000 |
Variable expenses | 12,000 | |
Contribution margin | 8,000 | |
Fixed expenses | 6,000 | |
Net operating income | $ | 2,000 |
Question: If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income?
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