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Kelly Company's most recent contribution format income statement is shown below:
Sales (60,000 Units) total:$600,000 per unit:$10
Variable Cost total: 360000 per unit:6
Contribution Margin total:240,000 per unit:4
Fixed Cost total:100,000
Operating Income total:140,000
prepare a new contribution format income statement under each of the following conditions (consider each case independently):
d) Variable expenses increase by 60 cents per unit, the selling price increases by 15%, and the number of units sold decreases by 15%.
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