Q 1:Â 7. If the variable cost per unit increases
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Q 1:Â 7. If the variable cost per unit increases by $1, spending on advertising increases by $1,650, and unit sales increase by 230 units, what would be the net operating income?
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Q2:What is the break-even point in unit sales?
Q3:Â What is the break-even point in dollar sales?
Q4: How many units must be sold to achieve a target profit of $18,000?
Q5 What is the margin of safety in dollars?
Q6: What is the margin of safety percentage?
Q7: What is the degree of operating leverage? (Round your answer to 2 decimal places.)
Q8:  Using the degree of operating leverage, what is the estimated percent increase in net operating income of a 5% increase in sales? (Round your answer to 2 decimal places.)
Q9:  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 $31,500 and the total fixed expenses are $45,000. Under this scenario and assuming that total sales remain the same, what is the degree of operating leverage? (Round your answer to 2 decimal places.)
 Q10: 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.)
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Posted 20 Jun 2017 04:06 AM
My Price 13.00
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