1. Cullumber Manufacturing Inc. had sales of $2.70 million for the first quarter of 2022. In making the sales, the company incurred the following costs and expenses.

Variable Fixed

Cost of goods sold $907, 500 $442,00

Selling expenses $66, 500 $ 44,000

Administrative expenses $88, 500 $ 99,000

Solve This

CVP income statement for the quarter ended March 31, 2022

CULLUMBER MANUFACTING INC.

CVP Income Statement

For the Quarter Ended March 31, 2022

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	$

2. Blossom Company makes radios that sell for $60 each. For the coming year, management expects fixed costs to total $121,120 and variable costs to be $48.00 per unit.

Calculate the break-even point in dollars using the contribution margin ratio. (Round answer to the nearest dollar, e.g. 1,230.) Break-even point :

$

Calculate the sales dollars required to earn operating income of $150,000. tA Required sales

$

Calculate the margin of safety ratio assuming actual sales are $757,000. Margin of safety ratio

%