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2. The contribution income statement of XYZ Manufacturing Company for the most recent year Sales (15,000 units * AED 40 per unit)... AED 600,000 300,000

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2. The contribution income statement of XYZ Manufacturing Company for the most recent year Sales (15,000 units * AED 40 per unit)... AED 600,000 300,000 300,000 .. Variable expenses (15,000 units x 20). Contribution margin Fixed expenses... Net operating profit..... 100,000 .... AED 200,000 Required: 1. Compute CM ratio [4 marks] 5. Compute break-even point in unit sales [5 marks] - Compute the degree of operating leverage [5marks) NBC 11 . 2. The contribution income statement of XYZ Manufacturing Company for the most recen AED 600,000 Sales (15,000 units X AED 40 per unit) ..... Variable expenses (15,000 units x 20)...... Contribution margin Fixed expenses ... Net operating profit... 300,000 300,000 100,000 AED 200,000 Required: [4 marks) a. Compute CM ratio b. Compute break-even point in unit sales [5 marks] c. Compute the degree of operating leverage [5marks]

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