Whirly corporation’s most recent income statement is shown below:
Total Per Unit
Sales (10,000 units) $350,000 $35.00
Variable expenses $200,000 $20.00
Contribution Margin $150,000 $15.00
Fixed expenses $135,000
Net Operating income $15,000
Required: Prepare a new contribution format Income Statement under each of the following conditions (consider each case independently):
1. The sale volume increases by 100 units.
2. The sales volume decreases by 100 units.
3. The sales volume is 9,000 units.
Must show all work.
Whirly corporation’s most recent income statement is shown below:
Total Per Unit
Sales (10,000 units) $350,000 $35.00
Variable expenses $200,000 $20.00
Contribution Margin $150,000 $15.00
Fixed expenses $135,000
Net Operating income $15,000
Required: Prepare a new contribution format Income Statement under each of the following conditions (consider each case independently):
1. The sale volume increases by 100 units.
2. The sales volume decreases by 100 units.
3. The sales volume is 9,000 units.
Must show all work.
Related questions
| Whirly Corporationâs most recent income statement is shown below: |
| Total | Per Unit | ||||
| Sales (7,300 units) | $ | 248,200 | $ | 34.00 | |
| Variable expenses | 138,700 | 19.00 | |||
| Contribution margin | 109,500 | $ | 15.00 | ||
| Fixed expenses | 55,100 | ||||
| Net operating income | $ | 54,400 | |||
| Required: | |
| Prepare a new contribution format income statement under each of the following conditions (consider each case independently): | |
| 1. | The sales volume increases by 100 units. |
| 2. | The sales volume decreases by 100 units. |
| 3. | The sales volume is 6,300 units. |
Whirly Corporationâs most recent income statement is shownbelow:
| Total | Per Unit | ||||
| Sales (8,000 units) | $ | 280,000 | $ | 35.00 | |
| Variable expenses | 152,000 | 19.00 | |||
| Contribution margin | 128,000 | $ | 16.00 | ||
| Fixed expenses | 55,100 | ||||
| Netoperating income | $ | 72,900 | |||
| Required: | |
Prepare a new contribution format income statement under each ofthe following conditions (consider each case independently): | |
| 1. | The sales volume increases by 90 units. |
| 2. | The sales volume decreases by 90 units. |
| 3. | The sales volume is 7,000 units. |
