1.At a sales level of $97,000, Blue Company's contribution margin is $17,000. If the degree of operating leverage is 8 at a $97,000 sales level, net operating income must equal:

2. Kendall Company has sales of 1,600 units at $50 a unit. Variable expenses are 35% of the selling price. If total fixed expenses are $42,000, the degree of operating leverage is:

3.

The following data pertain to last month's operations:

Selling price	$ 30	per unit
Variable production cost	$ 7	per unit
Fixed production cost	$78,000
Variable selling & admin. expenses	$ 8	per unit
Fixed selling & admin. expenses	$34,000

The break-even point in dollars is: