Answer the questions on an Execl Spreadsheet

z 25% P3-16 Product Mix and CVP Analysis The Mix Company sells three products: X, Y, and Z. Budgeted sales by product and in total for the coming month are shown below: Product Total Percentage of total sales 40% 35% 100% Sales................ $32,000 100% $28,000 100% $20,000 100% $80,000 100% Variable expenses. ... 20,800 65 11,200 40 12,000 60 44,000 55 Contribution margin .. $11,200 35% $16,800 60% $ 8,000 40% 36,000 45% Fixed expenses.......... 26,325 Operating income.. $ 9,675 Break-even sales are budgeted as follows: $26,325 0.45 - = $58,500 Operating income is budgeted at $9,675. Assume the following actual sales for the month: Product Actual Sales $48,000 8,000 24.000 Operating income is budgeted at $9,675. Assume the following actual sales for the month: Product Actual Sales $48,000 8,000 24,000 Total $80,000 Required: 1. Prepare a contribution income statement for the month based on actual sales. Show the results by each product and for the company. 2. Compute the break-even point in dollar sales for the month based on the actual sales. 3. The company met its $80,000 sales budget for the month. Why are the oper- ating income and break-even sales different from what was budgeted? Assume that sales of the three products show an increase of 10% over the budgeted level of $80,000 and the product mix is maintained at the budgeted ratio of 40% X, 35% Y, and 25% Z. Compute the new operating income. Use the operating leverage concept