1
answer
0
watching
336
views
blushbat81Lv1
28 Sep 2019
Oslo Company prepared the following contribution format incomestatement based on a sales volume of 1,000 units (the relevantrange of production is 500 units to 1,500 units):
Sales $ 100,000 Variableexpenses 65,000 Contribution margin 35,000 Fixedexpenses 30,100 Netoperating income $ 4,900
13a. Using the degree of operating leverage, what is theestimated percent increase in net operating income of a 5% increasein sales? (Round yourintermediate calculations and final answer to 2 decimalplaces.)
13b. What is the margin of safety in dollars?What is the margin of safety percentage?
Margin of safety indollars Margin of safetypercentage
Oslo Company prepared the following contribution format incomestatement based on a sales volume of 1,000 units (the relevantrange of production is 500 units to 1,500 units):
Sales | $ | 100,000 |
Variableexpenses | 65,000 | |
Contribution margin | 35,000 | |
Fixedexpenses | 30,100 | |
Netoperating income | $ | 4,900 |
13a. Using the degree of operating leverage, what is theestimated percent increase in net operating income of a 5% increasein sales? (Round yourintermediate calculations and final answer to 2 decimalplaces.)
13b. What is the margin of safety in dollars?What is the margin of safety percentage?
Margin of safety indollars | ||
Margin of safetypercentage |
Jean KeelingLv2
28 Sep 2019