If sales increase to 1,001 units, what would be the increase in net operating income

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asked Jul 17, 2018 207k views

1 Answer

Alexander Paramonov · Answer 1 · 2018-07-22T20:58:46+0000

Contribution Margin Per Unit (a) = $9.60 per unit
Increase in Unit Sales (b) = 1 unit
Increase in Net Operating Income
(a) X (b) = $9.60 X 1 = $9.60

There will be a $9.60 increase in Net Operating Income if sales increase in 1 ,001 units.

If sales increase to 1,001 units, what would be the increase in net operating income

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