9.

Current operating income for Bay Area Cycles Co. is $54,000. Selling price per unit is $100, the contribution margin ratio is 30%, and fixed expense is $216,000.

Required:

1.	Calculate Bay Area Cycles break-even point in units and total sales dollars.
	Break-even units: _________ Break-even dollars: $___________

2.	Calculate Bay Area Cycles margin of safety and margin of safety ratio.
	Margin of safety: __________ Margin of safety ratio: _________%