Check II

Contribution margin per unit

$$,168$

$$,46$

$$,144$

$\frac{228,800}{\text{\$}83,200}$

operating income

Break$-$even point in sales dollars

$=\frac{\text{F}\text{i}\text{x}\text{e}\text{d}\text{e}\text{x}\text{p}\text{e}\text{n}\text{s}\text{e}\text{s}}{\text{:}\text{O}\text{v}\text{e}\text{r}\text{a}\text{l}\text{l}CM\text{r}\text{a}\text{t}\text{i}\text{o}}=\frac{\text{\$}228,800}{0\mathrm{.}52}$

$=$$$440,000$

Break$-$even point in unit sales:

Total Fixed expenses $=\frac{\text{\$}228,800}{\text{\$}{130}^{**}}=1,760$ units

Weighted$-$average $CM$ per unit

$**($$$1680\mathrm{.}50)+($$$400\mathrm{.}25)+($$$1440\mathrm{.}25)$

As shown by these data, operating income is budgeted at $$83,200$ for the month, break$-$even sales dollars at $$440,000,$ and breakeven unit sales at $1,760.$

Assume that actual sales for the month total $$523,200(2,180$ units$),$ with the CM ratio and per unit amounts the same as budgeted.

Actual fixed expenses are the same as budgeted, $$228,800.$ Actual sales by product are as follows: sinks$,$ $$130,800(545$ units$)$; mirrors, $$218,000(1,090$ units$)$; and vanities, $$174,400(545$ units$).$

Required:

Prepare a contribution format income statement for the month based on actual sales data. $($Round your percentage answers to the nearest whole number.$)$

SMITHEN COMPANY

Contribution Margin Income Statement

Product