Question - Preparing a Contribution Format Income Statement. Wheeler Corporation's most recent income statement follows.
|
Total
|
Per Unit
|
|
Sales (8,000 units)
|
$208,000
|
$26.00
|
|
Variable expenses
|
244.000
|
18.00
|
|
Contribution margin
|
64.00
|
$8.00
|
|
Fixed expenses
|
56.00
|
|
|
Net Operating income
|
$8,000
|
|
Required: Prepare a new Contribution format income statement under each of the following conditions (consider each case independently):
1. The sales volume increases by 50 units
2. The sales volume declines by 50 units.
3. The sales volume is 7,000 units.