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The following is Silver Corporation's contribution format income statement for last month: Sales $ 1 , 4 0 0 , 0 0 0 Less: variable
The following is Silver Corporation's contribution format income statement for last month:
Sales $
Less: variable expenses
Contribution margin
Less: fixed expenses
Operating income $
The company has no beginning or ending inventories and produced and sold units during the month.
Required:
What is the company's contribution margin ratio?
What is the company's breakeven in units?
If sales increase by units, by how much should operating income increase?
How many units would the company have to sell to attain target operating income of $
What is the company's margin of safety in dollars?
What is the company's degree of operating leverage?
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