Mamagerial accounting contribution format income statement

Assume operating expenses last year were. Sales 468000, variable expenses 140400, contribution margin 327600, fixed expenses 168000, net operating income 159600, sells are $18 per unit, and variable cost are $5.4 per unit. Assume that the company sold 35000 units last year. The sales manager is convinced that a 12% reduction in the selling price, combined wiht a $80000 increase in adverstising expenditures, would cause annual sales in units to increase by one-third. I need a new contribution format income statement showing the results.
Lamcmur
Asked Oct 07, 2010
Many people here are willing to help you understand how to do things you're struggling with if we can help but few are willing to do your work for you. What is it about the statement you don't understand how to do?
Rob
Answered Oct 07, 2010

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