(7 marks)The following monthly budgeted data is available for the Baxter Company:

Product A

Product B

Product C

Sales

$100,000

$200,000

$500,000

Variable expenses

50,000

125,000

265,000

Contribution margin

$50,000

$75,000

$235,000

Budgeted operating income for the month is $213,750.

Required:MAKE SURE THAT YOU SHOW ALL OF YOUR CALCULATIONS AND PROPERLY LABEL EACH ITEM FOR FULL MARKS

a)Calculate the break-even point in sales dollars for the month assuming the sales mix remains the same. (4 marks)

b) Calculatesales in dollars for the month for each product line at the break-evenpoint. (3 marks)