Answer Happy

Required information The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income Foundational 6-1 (Algo) $ 35,000 21,000 Contribution margin per unit 14,000 8,400 $ 5,600 Required: 1. What is the contribution margin per unit? (Round your answer to 2 decimal places.)

Required information The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 35,000 21,000 14,000 8,400 $5,600 Foundational 6-2 (Algo) 2. What is the contribution margin ratio? Contribution margin ratio

ces ! Required information The Foundational 15 (Algo) (LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses. Contribution margin Fixed expenses Not operating income Foundational 6-3 (Algo) 3. What is the variable expense ratio? Variable expense ratio $ 35,000 21,000 14,000 8,400 $ 5,600 %

es 0 Required Information The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8) [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 35,000 21,000 14,000 8,400 $5,600 Foundational 6-4 (Algo) 4. If sales increase to 1,001 units, what would be the increase in net operating income? (Round your answer to 2 decimal places.) Increase in net operating income

cos Required Information The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin. Fixed expenses Net operating income $ 35,000 21,000 14,000 8,400 $ 5,600 Foundational 6-5 (Algo) 5. If sales decline to 900 units, what would be the net operating Income? Net operating income

ces Required information The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 35,000 21,000 14,000 8,400 $ 5,600 Foundational 6-6 (Algo) 6. If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income? Net operating income

Required Information The Foundational 15 (Algo) (LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8) [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 35,000 21,000 14,000 8,400 $ 5,600 Foundational 6-7 (Algo) 7. If the variable cost per unit increases by $1, spending on advertising increases by $1,250, and unit sales increase by 150 units, what would be the net operating income? Net operating income

nces ! Required information The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.) Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin. Fixed expenses Net operating income. Foundational 6-8 (Algo) Break-even point $ 35,000 21,000 8. What is the break-even point in unit sales? units 14,000 8,400 $ 5,600

! Required Information The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.) Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income Foundational 6-9 (Algo) $ 35,000 21,000 14,000 8,400 $ 5,600 9. What is the break-even point in dollar sales? Break-even point

es Required Information The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.] Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income $ 35,000 21,000 14,000 8,400 $ 5,600 Foundational 6-10 (Algo) 10. How many units must be sold to achieve a target profit of $8,400? Number of units

Foundational 15 es ! Required Information. The Foundational 15 (Algo) [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-7, LO6-8] [The following information applies to the questions displayed below.) Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales Variable expenses Contribution margin Fixed expenses Net operating income. Saved $ 35,000 21,000 14,000 8,400 $ 5,600 Foundational 6-11 (Algo) 11. What is the margin of safety in dollars? What is the margin of safety percentage? Margin of safety in dollars Margin of safety percentage %