Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000...

Question

Question

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 $20,000 12,000 Contribution margin Fixed expenses 8,000 6,000 Net operating income $ 2,000

media%2Fdc3%2Fdc338a06-bdb0-4d49-ad5f-6f

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

Part (1)	Contribution margin per unit

	Contribution margin per unit = (Total contribution margin/Total units sold)
	=	(8,000/1,000) = $8 per unit

Add a comment

Answer 2

Similar Homework Help Questions

Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000...

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 $ 20,000 13,000 7,000 3,780 $ 3,220 Foundational 5-5 5. If sales decline to 900 units, what would be the net operating income? Net operating income Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000...
Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000...

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 $ 22,400 Variable expenses 12,800 Contribution margin 9,600 Fixed expenses 7,968 Net operating income $ 1,632 What is the break-even point in unit sales?
Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000...

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 $ 25,100 Variable expenses 13,700 Contribution margin 11,400 Fixed expenses 7,752 Net operating income $ 3,648 What is the break-even point in sales dollars?

Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000...

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 $ 55,000 Variable expenses 33,000 Contribution margin 22,000 Fixed expenses 14,960 Net operating income $ 7,040 5. If sales decline to 900 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...

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 $ 26,000 14,000 Contribution margin Fixed expenses 12,000 7,800 Net operating income $ 4,200 2. What is the contribution margin ratio? Round your percentage answer to 2 decimal places (i.e.1234 should be entered as 12.34). Contribution marginalio 1 1%
Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000...

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 $ 55,000 Variable expenses 33,000 Contribution margin 22,000 Fixed expenses 14,960 Net operating income $ 7,040 11. What is the margin of safety in dollars? What is the margin of safety percentage?

View Oslo Company prepared the following contribution format income statement based on a sales volume of...

View 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 $ 26,000 14,000 Contribution margin Fixed expenses 12,000 7,800 Net operating income $ 4,280 11a What is the margin of safety in dollars? (Do not round Intermediate calculations.)
oslo company prepared the following contribution format income statement based on a sales volume of 1,000 units (the rel...

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 59500, contribution margin 25,500, fixed expenses 20,400, net operating income 5,100. what is the break-even point in dollar sales?
OSLO COMPANY PREPARED THE FOLLOWING CONTRIBUTION FORMAT INCOME STATEMENT BASED ON A SALES VOLUME OF 1,000...

OSLO COMPANY PREPARED THE FOLLOWING CONTRIBUTION FORMAT INCOME STATEMENT BASED ON A SALES VOLUME OF 1,000 UNITS THE RELEVANT RANGE OF PRODUCTION OF 500 UNITS TO 1500 UNITS): SALES: $20,000 VARIABLE EXPENSES 12,000 CONTRIBUTION MARGIN 8,000 FIXED EXPENSES 6,000 NET OPERATING INCOME 2,000 SHOW ALL WORK 1. IF THE VARIABLE COST PER UNIT INCREASES BY $1, SPENDING ON ADVERTISING INCREASES BY $1,500, AND UNIT SALES INCREASE BY 250 UNITS, WHAT WOULD BE NET OPERATING INCOME? 2. WHAT IS THE BREAK...

Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000...

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 $ 55,000 Variable expenses 33,000 Contribution margin 22,000 Fixed expenses 14,960 Net operating income $ 7,040 7. If the variable cost per unit increases by $1, spending on advertising increases by $1,450, and unit sales increase by 190 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...

Homework Answers