Question
The following is Aykroyd Corporation's contribution format income statement for last month: Sales$4,000,000 Less variable expenses 2,800,000 Contribution margin1,200,000 Less fixed expenses 720,000 Net income
The following is Aykroyd Corporation's contribution format income statement for last month:
Sales$4,000,000
Less variable expenses2,800,000
Contribution margin1,200,000
Less fixed expenses720,000
Net income$ 480,000
The company has no beginning or ending inventories. A total of 80,000 units were produced and sold last month. (Note that this is the same data provided for the previous question.) If sales increase by 400 units, how much should net income increase?
$1,600$6,000$10,000$19,200
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Entrepreneurship
Authors: Andrew Zacharakis, William D Bygrave
5th Edition
1119563097, 9781119563099
