12 Erin Shelton, Incorporated, wants to earn a target profit of $900,000 this year. The company's fixed costs are expected to be $1,200,000 and its variable costs are expected to be 60 percent of sales. Erin Shelton, Incorporated, earned $800,000 in profit last year. 0.62 points Required: 1. Calculate break-even sales for Erin Shelton, Incorporated. 2. Prepare a contribution margin income statement on the basis of break-even sales. eBook 3. Calculate the required sales to meet the target profit of $900,000. 4. Prepare a contribution margin income statement based on sales required to earn a target profit of $900,000. 5. When the company earns $900,000 of net income, what is Its margin of safety and margin of safety as a percentage of sales? Hint Complete this question by entering your answers in the tabs below. Print Required 1 Required 2 Required 3 Required 4 Required 5 References Calculate break-even sales for Erin Shelton, Incorporated. Break-Even Sales