Whirly Corporation
Solution
Contribution format income statement when the sales volume increases by 90 units:
Contribution format income statement when the sales volume decreases by 90 units:
Contribution format income statement when the sales volumeis 6,700 units:
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1. Whirly Corporation
Whirly Corporation
Solution
Contribution format income statement when the sales volume increases by 90 units:
Contribution format income statement when the sales volume decreases by 90 units:
Contribution format income statement when the sales volumeis 6,700 units:
Sales 7,700 units + 90 unis x $34 per unit $264,860
Less, variable expenses 7,790 units x $19 per unit 148,010
Contribution margin 7,790 units x $15 per unit $116,850
Less fixed expenses 54,800
Net operating income $62,050