Principles of Accounting Volume 2
Principles of Accounting Volume 2
19th Edition
ISBN: 9781947172609
Author: OpenStax
Publisher: OpenStax College
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Alpha Corp. produces and sells a single product. The
company's contribution format income statement for the
month reports:
• Sales (7,500 units) = $225,000
• Variable expenses = $112,500
• Contribution margin = $112,500
• Fixed expenses = $85,000
• Net operating income = $27,500
If Alpha Corp. sells 8,000 units, what is the total
contribution margin?
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Transcribed Image Text:Alpha Corp. produces and sells a single product. The company's contribution format income statement for the month reports: • Sales (7,500 units) = $225,000 • Variable expenses = $112,500 • Contribution margin = $112,500 • Fixed expenses = $85,000 • Net operating income = $27,500 If Alpha Corp. sells 8,000 units, what is the total contribution margin?
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Principles of Accounting Volume 2
Accounting
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax College