Chapter 5 A Saved Help 3 Topper Sports, Incorporated produces high-quality sports equipment. The company's Racket Division manufactures three tennis rackets-the Standard, the Deluxe, and the Pro-that are widely used in amateur play. Selected information on the rackets is given below: 3.75 points Standard Deluxe $ 70.00 $ 45.00 Pro $ 100.00 Selling price per racket Variable expenses per racket: Production Selling (5% of selling price) eBook $ 27.00 $ 2.25 $ 35.00 $ 3.50 $36.00 $ 5.00 Print All sales are made through the company's own retail outlets. The Racket Division has the following fixed costs: References Fixed production costs Advertising expense Administrative salaries Total Per Month $ 138,000 118,000 68,000 $ 324,000 Sales, in units, over the past two months have been as follows: April May Standard 2,000 8,000 Deluxe 1,000 1,600 Pro 5,000 3,000 Total 8,000 12,000 Required: 1-a. Prepare contribution format income statements for April 1-b. Prepare contribution format income statements for May. 3. Compute the Racket Division's break-even point in dollar sales for April. 4. Will the break-even point would be higher or lower with May's sales mix than with April's sales mix? 5. Assume that sales of the Standard racket increase by $21,800. What would be the effect on net operating income? What would be the effect if Pro racket sales increased by $21,800? Do not prepare income statements use the incremental analysis approach in determining your answer. Topper Sports, Incorporated Income Statement for April Deluxe % Amount % Pro Total Standard Amount Amount % Amount % Variable expenses: Total variable expenses 0 0 0 0 0 0 0 0.0 S 0 0 $ 0 0 $ 0 0 $ 0 0.0 Fixed expenses Total fixed expenses 0 Topper Sports, Incorporated Income Statement for May Deluxe Standard Pro Total Amount % Amount % Amount % Amount % Variable expenses: Total variable expenses 0 0 0 0 0 0 0 0.0 $ 0 0 $ 0 0 $ 0 0 $ 0 0.0 Fixed expenses: Total fixed expenses 0 Complete this question by entering your answers in the tabs below. K Reg 1A Reg 1B Reg 3 Reg 4 Req 5 ces Compute the Racket Division's 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 Req 1B Reg 3 Reg 4 Reg 5 Assume that sales of the Standard racket increase by $21]800. What would be the effect on net operating income? What would be the effect if Pro racket sales increased by $21,800? Do not prepare income statements; use the incremental analysis approach in determining your answer. Standard Pro Effect on Net operating income