Reference no: EM132743989

Problem - Miller Company's contribution format income statement for the most recent month is shown below: Total $222,000 111,000 Per Unit $6.00 3.00 $3.00 Sales (37,000 units) Variable expenses Contribution margin Fixed expenses Net operating income 111,000 43,000 $ 68,000 Required: (Consider each case independently):

1. What is the revised net operating income if unit sales increase by 15%?

2. What is the revised net operating income if the selling price decreases by $1.30 per unit and the number of units sold increases by 24%?

3. What is the revised net operating income if the selling price increases by $1.30 per unit, fixed expenses increase by $7,000, and the number of units sold decreases by 2%?

4. What is the revised net operating income if the selling price per unit increases by 10%, variable expenses increase by 20 cents per unit, and the number of units sold decreases by 15%?