The Foundational 15 (Algo) (L06-1, LO6-3, L06-4, LO6-5, LO6-6, L06-7, LO6-8] 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 Variable expenses Contribution margin Fixed expenses Net operating income $ 85,000 59.500 25,500 20.400 $ 5,100 Foundational 6-5 (Algo) 5. If sales decline to 900 units, what would be the net operating Income? Nel operating income (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 Variable expenses Contribution margin Tixed expenses Net operating income $ 85,000 59,500 25,500 20,400 $ 5,100 Foundational 6-6 (Algo) 6. If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income? Net operating Income 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 Variable expenses Contribution margin Fixed expenses Net operating income $ 85,000 59.500 25,500 20,400 $ 5,100 Foundational 6-7 (Algo) 7. If the variable cost per unit increases by $1. spending on advertising ncreases by $1750, and unit sales increase by 250 units, what would be the net operating income? Net operating income 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 $ 85,000 Variable expenses 59,500 Contribution margin 25,500 Fixed expenses Net operating income $ 5,100 20,400 Foundational 6-8 (Algo) 8. What is the break-even point in unit sales? Broak-even point units 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 $ 85,000 Variable expenses 59,500 Contribution margin 25,500 Fixed expenses Net operating income $ 5,100 20,400 Foundational 6-9 (Algo) 9. What is the break-even point in dollar sales? Break-even point The Foundational 15 (Algo) (L06-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8) (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 Variable expenses Contribution margin Fixed expenses Net operating income $ 85,000 59,500 25,500 20,400 $ 5,100 Foundational 6-10 (Algo) 10. How many units must be sold to achieve a target profit of $15,300? Number of units {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 Variable expenses Contribution margin Fixed expenses Net operating income $ 85,000 59,500 25,500 20,400 $ 5,100 Foundational 6-11 (Algo) 11. What is the margin of safety in dollars? What is the margin of safety percentage? Margin of safety in dollars Margin of safety percentage 201%
