Contribution format income statement based on sales volume

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Reference no: EM131287882

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 $ 23,000

Variable expenses 13,000

Contribution margin 10,000

Fixed expenses 8,500

Net operating income $ 1,500

Required:

If the selling price increases by $1.50 per unit and the sales volume decreases by 100 units, what would be the net operating income? (Do not round intermediate calculations.)

Reference no: EM131287882

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