Answer Happy

Miller Company's contribution format income statement for the most recent month is shown below: Per Unit. $ 10.00 7.00 $ 3.00 Sales (38,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: (Consider each case independently): 1. Net operating income 2. Net operating income Total $ 380,000 266,000 1. What is the revised net operating income if unit sales increase by 19%? 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 25%? 3. What is the revised net operating income if the selling price increases by $1.10 per unit, fixed expenses increase by $8,000, and the number of units sold decreases by 5%? 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 8%? 3. Net operating income 4. Net operating income 114,000 41,000 $ 73,000