Assume the following (1) sales = $200,000, (2) unit sales = 10,000, (3) the contribution margin ratio = 26%, and (4) net operating income = $10,000. Given these four assumptions, which of the following is true?

Multiple Choice

• The total fixed expenses = $42,000

• The total variable expenses = $52,000

• The total contribution margin = $148,000

• The break-even point is 8,958 units