A la Soup Company prepared the following budget information for the coming year:

Chilli Veg. Soup Beef Soup Total

Sales $85,714 $1,000,000 $177,777 $1,263,491

Variable exp. 25,714 800,000 97,777 923,491

Contrib. mar. $60,000 $200,000 $80,000 340,000

Fixed exp. 255,000

Net income $85,000

The budget assumes the sale of 20,000 units of Chilli, 100,000 units of Vegetable Soup, and 80,000 units of

Beef Soup.

Required:

a. What is the company's breakeven point given the sales mix above? Round up your answers to the nearest

whole number.

b. If the budgeted sales mix is maintained, what is the total contribution margin and net income if 300,000

units are sold?