Ovinsky Corporation, a company that produces and sells a single product, has provided its contribution format income statement for November. Sales (6,400 units) $ 403,200 Variable expenses 275,200 Contribution margin 128,000 Fixed expenses 103,500 Net operating income $ 24,500 If the company sells 6,300 units, its net operating income should be closest to: (Do not round intermediate calculations.)

You are the owner of a local honda dealership. unlike other dealerships in the area, you take pride in your “no haggle” sales policy. last year, your dealership earned record profits of $1.5 million. however, according to the local chamber of commerce, your earnings were 10 percent less than either of your competitors. in your market, the price elasticity of demand for midsized honda automobiles is 4.5. in each of the last five years, your dealership has sold more midsized automobiles than any other honda dealership in the nation. this entitled your dealership to an additional 30 percent off the manufacturer’s suggested retail price (msrp) in each year. taking this into account, your marginal cost of a midsized automobile is $11,000. what price should you charge for a midsized automobile if you expect to maintain your record sales?