Reference no: EM132471584

Miller Company's contribution format income statement for the most recent month is shown below:

	Total	Per Unit
Sales    (40,000 units)	$ 240,000	$ 6.00
Variable expenses	120,000	3.00
Contribution margin	120,000	63.00
Fixed expenses	46,000
Net operating income	$       74,000

Required:
(Consider each case Independently):

Question 1. What is the revised net operating income if unit sales increase by 20%?

Question 2. What is the revised net operating income if the selling price decreases by $1.10 per unit and the number of units sold increases by 24%?

Question 3. What is the revised net operating income if the selling price increases by $110 per unit, fixed expenses increase by $8,000, and the number of units sold decreases by 5%?

Question 4. What is the revised net operating income if the selling price per unit increases by 20%, variable expenses increase by 10 cents per unit, and the number of units sold decreases by 10%?

1. Net operating home
2. Net operating income
3. Net operating icome
4. Net operating income