Rearrange the income statement to the contribution margin

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Reference no: EM13481513

Here is the question:

Presented below is the income statement info:

sales                            $110,000
Cost of goods sold       $(57,000)
Grossprofit                    $ 53,000
Operatingexpenses      $ (38,000)
Operatingincome           $ 15,000

Based on the info, the company's contribution margin is10%

1) Rearrange the income statement to the contribution margin format?

2) If sales increase by 10 percent, what will be the firm'soperating income?

3) Calulate the amount of revenue required for breakeven?

Reference no: EM13481513

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