Use the contribution margin approach to compute the change in net operating income if the selling price increases by 3%, raw material costs increase by 7% and sales fall by 100 units.
Reference the DATA cells) in your formula below. Format as a number. Always refer to the original data.
Use the Excel ROUNDUP function to obtain whole units or dollars
new operating income: ?
change in operating income: ?

Requirement 14
Use the contribution margin approach to compute the change in net operating income if the selling price per unit increases by $30
per unit and the sales fall by 100 units.
Reference the DATA cells) in your formula below. Format as number.
Use the Excel ROUNDUP function to obtain whole units or dollars
new operating income: ?
change in operating income: ?

Requirement 15
Use the contribution margin approach to compute the change in net operating income if the sales increase by 9% and advertising spending is increased by $8,000.
Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data
Use the Excel ROUNDUP function to obtain whole units or dollars
new operating income: ?
change in operating income: ?

Requirement 16
Use the contribution margin approach to calculate margin of safety in dollars, as a percent and in units.
Reference the DATA cells) in your formula below. Format as a number. Always refer to the original data.
Use the Excel ROUNDUP function to obtain whole units or dollars
margin safety $: ?
margin safety %: ?
margin safety units: ?

Requirement 17
Use the contribution margin approach to calculate operating leverage. What is the estimated percent increase in net income If sales increase 15%? What is the New Operating Income?
Reference the DATA cells) in your formula below. Format as a number. Always refer to the original data.
operating leverage: ?
change in operation income %: ?
new operating income $: ?

7 . 8 9 0 -1 2 33 34 DATA (copy from Requirement 8) Description Unit Sales for 2024 Sales Revenue Variable Costs Contribution Margin Fixed Costs Operating Income $2,910,000 $ 2,142,394 Contribution margin ratio Breakeven in Dollars. 590 590,000 631,906 $ (41,906) $ $ Breakeven Target Profit Your answers must be supported with calculations and formulas. No credit will be given for simply placing numbers in the answer blocks. 632 670,000 New Operating Income change in Operating Income Requirement 9 Use the contribution margin approach to compute the company's annual breakeven in units. Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data. Breakeven in Units 631.91 Per Unit Requirement 10 Use the contribution margin ratio approach to compute the breakeven point in sales dollars. Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data. Format the ratio as a percent, breakeven in dollars as accounting number format in whole dollars. 4,932 3,631 1,000 20.27% $24,326.63 Requirement 11 Use the contribution margin approach to compute the annual sales level (in units) required to eam a target operating income (profit) of $670,000. Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data. Use the Excel ROUNDUP function to obtain whole units to reach the target operating income. Target sales level (in units) Requirement 12 Use the contribution margin approach to compute the annual increase in net operating income if sales increase by 1 unit. 1,302 Reference the DATA cell(s) in your formula below. Format as a number. Always refer to the original data. Use the Excel ROUNDUP function to obtain whole units or dollars