Reference no: EM132693948
Whirly Corporation's contribution format income statement for the most recent month is shown below:
Sales (7,200 units) total $223,200 per unit $31.00
Variable expenses total 136,800 per unit 19.00
Contribution margin total 86,400 per unit $12.00
Fixed expenses total 55,600
Net operating income total $30,800
Required:
(Consider each case independently):
Problem 1. What would be the revised net operating income per month if the sales volume increases by 40 units?
Problem 2. What would be the revised net operating income per month if the sales volume decreases by 40 units?
Problem 3. What would be the revised net operating income per month if the sales volume is 6,200 units?