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Home myBama Chapter 05 Homework screenshot on microsoft surfa + https://newconnect.mheducation.com/flow/connect.html Chapter 05 Homework 6 Help Save & Exit Submit Check my work Whirly Corporation's contribution format income statement for the most recent month is shown below: 32.00 19.00 Sales OO units) Conriutian margin Nwt. lipa rating income 246, 400 146, 300 100,100 54, 100 45,400 15 points 13.00 Required: cBook Consider each case independently): 1. What would be the revised net operating income per month if the sales volume increases by 80 units? 2. What would be the revised net operating income per month if the sales volume decreases by 80 units? 3. What would be the revised net operating income per month if the sales volume is 6,700 units? Hint Print 1. Revised net operating income 2. Revised net operating income 3. Revised net operating income

Explanation / Answer

1) Contribution income statement total per unit Sales (7,780 units) 248960 32 Variable expense 147820 19 Contribution margin 101140 13 Fixed expense 54,700 Net operating income 46,440 (sales volume = 7,700+80= 7780 ) 2) Contribution income statement total per unit Sales (7,620 units) 243840 32 Variable expense 144780 19 Contribution margin 99060 13 Fixed expense 54,700 Net operating income 44,360 (sales volume = 7,700-80 = 7620 ) 3) Contribution income statement total per unit Sales (6700 units) 214400 32 Variable expense 127300 19 Contribution margin 87100 13 Fixed expense 54,700 Net operating income 32,400 Sales volume = 6700 units

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