Company Name
Larson
Variable cost per unit a $
Sales revenue units times $ $
Variable cost units times a
Contribution margin $
Fixed cost
Net income $
Benson
Variable cost per unit a $
Sales revenue units times $ $
Variable cost units times a
Contribution margin $
Fixed cost
Net income $
If the economy expands in coming years, Larson and Benson will both enjoy a percent per year increase in sales, assuming that the selling price remains unchanged. Compute the change in net income for each firm in dollar amount and in percentage.
