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The Ouinn Corporation shows the following income statement. The firm uses FIFO inventory accounting. Inventory policy, oid inventory will stil belume is maintained in 20XY,

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The Ouinn Corporation shows the following income statement. The firm uses FIFO inventory accounting. Inventory policy, oid inventory will stil belume is maintained in 20XY, but the sales price increases by 10 percent. Because of FIFO percent of sales and amortization will be uncharged off at $7.50 per unit. Also assume that selling and administrative expense will be 5 intermediate calculations. Round the final answer to nearest whole dollar) a. Assume that the same 15,000 unit volume is maintained in 20XY, but the sales price increases by 10 percent. Because of FIFO inventory policy. old inventory will still be charged off at $7.50 per unit. Also assume that selling and administrative expense will be 5 percent of sales and amortization will be unchanged, The tax rate is 34 percent. Compute aftertax income for 20Y, (Do not round th intermediate calculations. Round the final answer to nearest whole dollar.) Aftertax income b. In part a, by what percent did aftertax income increase as a resuit of a 10 percent increase in the sales price? (Round the aftertax income answer to nearest dollar. Round the final answer to 2 decimal places.) Gain in aftertax income c. Now assume in 20XZ the volume remains constant at 15.00q qunits, but that the sales price decreases by 15 percent from its 20XY level. Also, because of FIFO inventory policy, cost of goods sold reflects the inflationary conditions of the prior year and is $8.00 per unit. Further assume that selling and administrative expense will be 5 percent of sales and amortization will be unchanged. The tax rate is 34 percent. Compute aftertax income. (Do not round intermediate calculations. Round final answer to nearest whole dollar.) Aftertax income

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