If sales increase by 10 what income from operations would

Reference no: EM13572273

Wind Bicycle company sold 500 bikes in december 2003. The selling price was $500 per unit, the variable expenses were $300 per unit. Wind incurred a total of $80000 fixed expenses for the month

I solved and got Income-20,000
Contribution Margin- 100,000
Unit Contribution Margin- 200
and Contribution margin ratio- 40%

How many bikes must be sold to earn a profit of $35,000?
How many bikes must be sold to break even?

What is the margin of safety percentage?

What is Wind Company's current degree of operating leverage?

If Sales increase by 10% what income from operations would the company have earned? What percentage increase in income from operations does this represent?

Reference no: EM13572273

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