!Required informationThe Foundational 15 (Algo) [LO5-1, LO5-2, LO5-3, LO5-4, LO5-5, LO5-6, LO5-7][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 (therelevant range of production is 500 units to 1,500 units):SalesVariable expensesContribution marginFixed expensesNet operating incomeFoundational 5-2 (Algo)2. What is the contribution margin ratio?Contribution margin ratio%$ 15,0009,0006,0003,120$ 2,880 !Required informationThe Foundational 15 (Algo) [LO5-1, LO5-2, LO5-3, LO5-4, LO5-5, LO5-6, LO5-7][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 (therelevant range of production is 500 units to 1,500 units):SalesVariable expensesContribution marginFixed expensesNet operating incomeFoundational 5-3 (Algo)3. What is the variable expense ratio?Variable expense ratio%$ 15,0009,0006,0003,120$ 2,880

Variable expense is the amount of money incurred on the expenses that vary with the variation in the…

Answered: Oslo Company prepared the following…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter12: Differential Analysis And Product Pricing

Section: Chapter Questions

Problem 12.16E: Product cost concept of product pricing Based on the data presented in Exercise 12-15, assume that...

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[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 $ 70,000 Variable expenses 38,500 Contribution margin 31,500 Fixed expenses 23,310 Net operating income $ 8,190 4. If sales increase to 1,001 units, what would be the increase in net operating income? (Round your answer to 2 decimal places.) 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? 7. If the variable cost per unit increases by $1, spending on advertising increases by $1,600, and unit sales increase by 220 units, what would be the net operating income?
Product cost concept of product pricing Based on the data presented in Exercise 12-15, assume that Willis Products Inc. uses the product cost concept of applying the cost-plus approach to product pricing. a.Determine the total manufacturing costs and the cost amount per unit for the production and sale of 200,000 units. b.Determine the product cost markup percentage per unit. Round to two decimal place. c.Determine the selling price per unit. Round to the nearest dollar.
Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units): Sales$ 55,000Variable expenses33,000Contribution margin22,000Fixed expenses14,960Net operating income$ 7,04015. Assume that the amounts of the company’s total variable expenses and total fixed expenses were reversed. In other words, assume that the total variable expenses are $14,960 and the total fixed expenses are $33,000. Using the degree of operating leverage, what is the estimated percent increase in net operating income of a 5% increase in unit sales? (Round your intermediate calculations and final answer to 2 decimal places.)
Required information Skip to question [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 $ 85,000 Variable expenses 59, 500 Contribution margin 25, 500 Fixed expenses 20, 400 Net operating income $ 5,100 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? (Round "Per Unit" calculations to 2 decimal places.)
[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 $ 70,000 Variable expenses 38,500 Contribution margin 31,500 Fixed expenses 23,310 Net operating income $ 8,190 5. If sales decline to 900 units, what would be the net operating income? 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? 7. If the variable cost per unit increases by $1, spending on advertising increases by $1,600, and unit sales increase by 220 units, what would be the net operating income? 8. What is the break-even point in unit sales?
Oslo company prepared the following contrubition format income statement based on a sales volume of 1,000 unites (the relevant range of production is 500 units to 1,500 units). Sales.... $20,000 Variable expenses ... 12,000 Contribution margin .... 8,000 Fixed expenses ... 6,000 Net operating income... $2,000 4) If the sales increase to 1,001 units, what would be the increase in net operating income ? 5) If sales decline to 900 units , what would be the net operating income? 6) If selling price increases by $2 per unit and the sales volume decreases by 100 units , what would be the net operating income ?
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 $ 20,000 Variable expenses 13,000 Contribution margin 7,000 Fixed expenses 3,780 Net operating income $ 3,220 Questions: A) If sales increase to 1,001 units, what would be the increase in net operating income? (Round your answer to 2 decimal places.) B) If sales decline to 900 units, what would be the net operating income? C) If the selling price increases by $2 per unit and the sales volume decreases by 100 units, what would be the net operating income? (SAME DATA AS ATTACHED PICS- SUBMISSION BOX WOULDN'T ALLOW FOR MORE THAN 2 ATTACHMENTS)
Miller Company’s most recent contribution format income statement is shown below:Total Per UnitSales (20,000 units) ............................. $300,000 $15.00Variable expenses ............................... 180,000 9.00Contribution margin ............................. 120,000 $ 6.00Fixed expenses ................................... 70,000Net operating income .......................... $ 50,000Required:Prepare a new contribution format income statement under each of the following conditions (consider eachcase independently):1. The number of units sold increases by 15%.2. The selling price decreases by $1.50 per unit, and the number of units sold increases by 25%.
please answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image) 58 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 $ Increase in net operating income $ 24,500 13,500 11,000 7,700 3,300 Required: If sales increased to 1,001 units, what would be the increase in net operating income? (Round your answer to 2 decimal places.)
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 $ 100,000 Variable expenses 65,000 Contribution margin 35,000 Fixed expenses 30,100 Net operating income $ 4,900 13. Using the degree of operating leverage, what is the estimated percent increase in net operating income of a 5% increase in sales? (Round your intermediate calculations and final answer to 2 decimal places.)
[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 $ 100,000 Variable expenses 65,000 Contribution margin 35,000 Fixed expenses 30,100 Net operating income $ 4,900 12. What is the degree of operating leverage?
[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 $ 70,000 Variable expenses 38,500 Contribution margin 31,500 Fixed expenses 23,310 Net operating income $ 8,190 1. What is the contribution margin per unit? (Round your answer to 2 decimal places.) 2. What is the contribution margin ratio? 3. What is the variable expense ratio? 4. If sales increase to 1,001 units, what would be the increase in net operating income?

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