Prepare aladins new income statement under

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Sales (30,000 batteries) $300,000 $10
Less variable expenses $180,000 $6
---- --
Contribution margin $120,000 $4
Fixed expenses $100,000 --
----
Net operating income $20,000
----

Required:

Prepare Aladin's new income statement under each of the following conditions:

  1. The sales volume increases by 15%.
  2. The selling price decreases by 20% per unit, and the sales volume increases by 30%.
  3. The selling price increases by 50% per unit, fixed expenses increase by $20,000 and the sales volume decreases by 5%.
  4. Variable expenses increase by 20% per unit, the selling price increases by 12%, and the sales volume decreases by 10%.

Reference no: EM131793830

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