2. Compute the dollar amount of monthly sales that the company needs in order to eam $308,000 in operating income (round the contribution margin ratio to two decimal places). Contributionmargin=$$=$Contributionmarginratio=$15=(rounded)Targetsalesindollars=Fixedexpenses+TargetoperatingincomeContributionmarginratioTargetsalesindollars=$$+$=$=$ 3. Prepare the company's contribution margin income statement for Tune for sales of 450,000 cartons of calendars. P7-75B. Comprehensive CVP problem (Leaming Objectives 1. 2. \& 5) Whoosh Calendars imprints calendars with college names. The company has fixed expenses of $1,095,000 each month plus variable expenses of $6.50 per carton of calendars. Of the variable expenses, 68% is cost of goods sold, while the remaining 32% relates to variable operating expenses. The company sells each carton of calendars for $16.50. Requirements 1. Compute the number of cartons of calendars that Whoosh Calendars must sell each month to break even. Breakeven sales in units = cartons 2. Compute the dollar amount of monthly sales that the company needs in order to eam $308,000 in operating income (round the contribution margin ratio to two decimal places). =$=$ 3. Prepare the company's contribution margin income statement for Tune for sales of 450,000 cartons of calendars. Margin of safety = Sales - Sales at breakeven Margin of safety =$ 1 cartons 5 percarton) Margin of safety =$ 5 Operating leverage factor =OperatingincomeContributionmargin Operating leverage factor =$ Operating leverage factor = (rounded) 5. By what percentage will operating income change if July's sales volume is 16% higher? Prove your answer. If volume increases 16%, then operating income will increase % loperating leverage factor of multiplied by 16%). Proof: Original volume (cartons) Add: Increase in volume % New volume (cartons) Multiplied by: Unit contribution margin New total contribution margin Less: Fixed expenses New operating income vs. Operating income before change in volume Increase in operating income Percentage change ($/$ ) (rounded)