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    At the break-even point:
    A)sales would be equal to contribution margin
    B)contribution margin would be equal to fixed expenses
    C)contribution margin would be equal to net operating income
    D)sales would be equal to fixed expenses

    Rovinsky Corporation, a company that produced and sells a single product, has provided its contribution format income statement for November:
    Sales (5,700 units...............$319,200
    Variable expenses................ 188,100
    Contribution margin.............. 131,100
    Fixed expenses................... 106,500
    Net operating income............. 24,600

    If the company sells 5,300 units, its NET OPERATING INCOME should be closest to:
    A)$24,600
    B)$2,200
    C)$22,874
    D)$15,400

    © BrainMass Inc. brainmass.com December 15, 2022, 7:56 pm ad1c9bdddf
    https://brainmass.com/business/management-accounting/261000

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    1. B)contribution margin would be equal to fixed expenses
    At ...

    Solution Summary

    The solution explains two multiple choice questions relating to break-even point and net operating income

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