Porter Company's most recent contribution format income statement is shown below:
Total
Per Unit
Sales (30,000 units)
$150,000
$5
Variable expenses
90,000
3
Contribution margin
60,000
$2
Fixed expenses
50,000
Net operating income
$ 10,000
Required:
Prepare a new contribution format income statement under each of the following conditions (consider each case independently): (Input all amounts as positive values except losses which should be indicated by a minus sign. Do not round intermediate calculations. Round your \"Per unit\" answers to 2 decimal places. Omit the \"$\" sign in your response.)
1.
The number of units sold increases by 15%.
2.
The selling price decreases by 50 cents per unit, and the number of units sold increases by 20%.
3.
The selling price increases by 50 cents per unit, fixed expenses increase by $10,000, and the number of units sold decreases by 5%.
4.
Variable expenses increase by 20 cents per unit, the selling price increases by 12%, and the number of units sold decreases by 10%.
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