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answer all 6 parts. ill thumbs up The McKnight Company...

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Accounting

answer all 6 parts. ill thumbs up image
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The McKnight Company manufactures and sells pens Currently 5,300,000 ints are sold per year at s060 per unit Fixed costs are $880,000 per year. Variable costs are $0.40 per Read the requirements Requirement 1. What is the current annual operating income? (a) Start by determining the formula to calculato operating income Operating income i Requirements X nd al Ic Consider each case separately 1. a. What is the current annual operating income? b. What is the current breakeven point in revenues? Compute the new operating income or loss for each of the following changes: 2. A $0.05 per unit increase in variable costs 3. A 10% increase in fixed costs and a 10% increase in units sold 4. A 20% decrease in fixed costs a 20% decrease in selling price, a 30% decrease in variable cost per unit, and a 45% increase in units sold Compute the new breakeven point in units for each of the following changes 5. A 10% increase in fixed costs 6. A 10% increase in selling price and a $30,000 increase in fixed costs

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