Answer Happy

Exercise 6-13 (Algo) Changes in Selling Price, Sales Volume, Variable Cost per Unit, and Total Fixed Costs [LO6-1, LO6-4] Miller Company's contribution format income statement for the most recent month is shown below: Per Unit $ 7.00 4.00 $ 3.00 Sales (36,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: (Consider each case independently): Total $ 252,000 144,000 108,000 45,000 $ 63,000 1. What is the revised net operating income if unit sales increase by 17%? 2. What is the revised net operating income if the selling price decreases by $1.40 per unit and the number of units sold increases by 19%? 3. What is the revised net operating income if the selling price increases by $1.40 per unit, fixed expenses increase by $6,000, and the number of units sold decreases by 4%? 1. Net operating income 2. Net operating income 3. Net operating income 4. Net operating income 4. What is the revised net operating income if the selling price per unit increases by 10%, variable expenses increase by 30 cents per unit, and the number of units sold decreases by 6%?