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How much would the operating income be

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Reference no: EM132746377

Problem - Ibis Company prepared the following static budget for the coming month:

Static Budget

 

 

Units/volume

 

12,000

 

Per Unit

 

Sales revenue

$20.00

$240,000

Variable expenses

$9.00

108,000

Contribution margin

 

132,000

Fixed expenses

 

130,000

Operating income/(loss)

 

$2,000

Required - If a flexible budget was prepared at a volume of 13,000 units, how much would the operating income be?

Reference no: EM132746377

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