CarbexInc. produces cutlery sets out of highquality wood and steel. The company makes a Standard set and a Deluxe set and sells them to retall department stores throughout the countryThe Standard set sells for $92 and the Deluxe set sells for $107. The variable expenses associated with each set are given below.

Carbex, Inc., produces cutlery sets out of high-quality wood and steel. The company makes a Standard set and a Deluxe set and sells them to retail department stores throughout the country. The Standard set sells for $92, and the Deluxe set sells for $107. The variable expenses associated with each set are given below. Variable production costs Sales commissions (318 of sales price) Standard $ 31.00 $ 28.52 Deluxe $ 46.00 $ 33.17 The company's fixed expenses each month are: Advertising Depreciation Administrative $ 121,000 $ 26,500 $ 71,000 Mary Parsons, the financial vice president, watches sales commissions carefully and has noted that they have risen steadily over the last year. For this reason, she was shocked to find that even though sales have increased, profits for the current month-May-are down substantially from April. Sales, in sets, for the last two months are given below: Standard Deluxe Total April 5,600 3,600 9,200 May 2,600 6,600 9,200 Required: 1-a. Prepare contribution format income statement for April 1-b. Prepare contribution format income statement for May. 3-a. Compute the break-even point in dollar sales for April 3.b. Would the break-even point in May be higher or lower than the break-even point in April? Reg 1A Reg 1B Req 3A Reg 3B Prepare contribution format income statement for April. (Round your "Percentage" answers to 1 decimal place (i.e. .1234 should be entered as 12.3)) Carbox, Inc. Income Statement For April Standard Deluxe Amount % Amount % $ 515,200 % $ 385,200 Total Amount $ 900,400 % Sales % % Variable expenses: % Production (173,600) (159,712) (165,600) (119,412) % 31.01% (339,200) (279,124) 31.01% Sales commission % % % 31.01% % % 31.0 % (31.0) % Total variable expenses (333,312) $ 181,888 (285,012) $ 100,188 31.0 % (31.0) % (618,324) $ 282,076 % 31.0 % (31.0) % Fixed expenses Advertising Depreciation 121,000 26,500 Total fixed expenses Net operating income 147,500 $ 134,576 Regla Reg 18 > Reg 1A Reg 1B Reg 3A Reg 3B Prepare contribution format income statement for May. (Round your "Percentage" answers to 1 decimal place (I.e. 1234 should be entered as 12.3).) Carbox, Inc. Income Statement For May Standard Deluxe Amount Amount % $ 2,600 % $ 6,600 Total % Amount $ 9,200 Sales % % Variable expenses Sales 239,200 % 706,200 945,400 % % % % % % % % % % 0.0 % Total variable expenses 0.0 % 0.0 % 239,200 $ (236,600) 706,200 $ (699,600) 945,400 $ (936,200) 0.01% 0.0 % 0.0 % Fixed expenses 0 Total fixed expenses $ (936,200) Complete this question by entering your answers in the tabs below. Reg 1A Reg 18 Reg 3A Reg 38 Compute the break-even point in dollar sales for April (Round intermediate percentage calculations to 1 decimal place and final answer to the nearest whole dollar) Break-even point in dollar sales Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Req Reg 38 Would the break-even point in May be higher or lower than the break-even point in April? Higher Lower