Brief Exercise 7-27 Break-Even Point in Sales Dollars Chillmax Company plans to sell 3,500 pairs of shoes at $60 each in the coming year. Variable cost is 35% of the sales price; contribution margin is 65% of the sales price. Total fixed cost equals $78,000 (includes fixed factory overhead and fixed selling and administrative expense). OBJECTIVE 1 Example 7.4 Required 1. Calculate the sales revenue that Chillmax must make to break even by using the break- even point in sales equation. 2. Check your answer by preparing a contribution margin income statement based on the break-even point in sales dollars