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Calculate the companys unit contribution margin

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Reference no: EM131731534

Question - A tile manufacturer has supplied the following data.

Boxes of tile produced and sold

625,000

Sales revenue

$2,975,000

Variable manufacturing expense

$1,720,000

Fixed manufacturing expense

$790,000

Variable selling and admin expense

$152,000

Fixed selling and admin expense

$133,000

Net operating income

$180,000

Required:

Calculate the company's unit contribution margin. 

Calculate the company's contribution margin ratio. 

If the company increases its unit sales volume by 5% without increasing its fixed expenses, what would the company's net operating income be?

Reference no: EM131731534

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