contestada

Sorin Inc., a company that produces and sells a single product, has provided its contribution format income statement for January.

Sales (4,200 units) $ 155,400
Variable expenses 100,800
Contribution margin 54,600
Fixed expenses 42,400
Net operating income $ 12,200

Respuesta :

hyderali230

Answer:

$59,800

Explanation:

* Requirement of the question is missing which is as follows

"If the company sells 4,600 units, its total contribution margin should be closest to"

Following answer is made accordingly.

                                                                          $

Sales ( 155400/4200 ) x 4600                  170,200

Variable cost ( 100800/4200 ) x 4600     110,400

Contribution Margin                                   59,800

Fixed Income                                              42,400

Net operating Income                                17,400

The revised Contribution margin is $59,800 and Net Operating Profit is $17,400 if company sells 4600 units.

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