Check my w Exercise 5-18 Break-Even and Target Profit Analysis; Margin of Safety; CM Ratio (LO5-1, L05-3, L05-5, LO5-6, LO5-7] Menlo Company distributes a single product. The company's sales and expenses for last month follow. Per Unit $ 40 sales Variable expenses Contribution margin Fixed expenses Net operating income Total $ 640,000 448, eee 192,eee 146,400 $ 45.000 $ 12 Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3-a. How many units would have to be sold each month to attain a target profit of $67,200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level 4. Refer to the original data Compute the company's margin of safety in both dollar and percentage terms 5. What is the company's CM ratio? If sales increase by $60,000 per month and there is no change in fixed expenses by how much would you expect monthly net operating income to increase? 1.48 points Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2 Without resorting to computations, what is the total contribution margin at the break even point? 3-a. How many units would have to be sold each month to attain a target profit of $67,200? 3-b. Verify your answer by preparing a contribution format income statement at the target sales level 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentaget 5. What is the company's CM ratio? If sales increase by $60,000 per month and there is no change in would you expect monthly net operating income to increase? eBook Print References Complete this question by entering your answers in the tabs below. Req 1 Req2 R eq 3A Req 3B Req 4 Reg 5 What is the monthly break-even point in unit sales and in dollar sales? units Break-even point in unit sales Break-even point in dollar sales Req 2 > Ints Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the 3-a. How many units would have to be sold each month to attain a target profit 3-b. Verify your answer by preparing a contribution format income statement att 4. Refer to the original data. Compute the company's margin of safety in both do 5. What is the company's CM ratio? If sales increase by $60,000 per month and would you expect monthly net operating income to increase? eBook Print References Complete this question by entering your answers in the tabs below. Reg 1 Reg 21 Req Req 3B Reg 4 Reg 5 Without resorting to computations, what is the total contribution margin at the break Total contribution margin Required: 1. What is the monthly break-even point in unit sales and in dollar sales? 2. Without resorting to computations, what is the total contribution margin at the bred 3-a. How many units would have to be sold each month to attain a target profit of $6 3-b. Verify your answer by preparing a contribution format income statement at the te 4. Refer to the original data. Compute the company's margin of safety in both dollar a 5. What is the company's CM ratio? If sales increase by $60,000 per month and there would you expect monthly net operating income to increase? Book Print erences Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Req 3A Req 3B Req 4 Req5 How many units would have to be sold each month to attain a target profit of $67,200? Units sales needed to attain target profit 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms 5. What is the company's CM ratio? If sales increase by $60,000 per month and there is no change in fixed would you expect monthly net operating income to increase? 148 points Complete this question by entering your answers in the tabs below. eBook Reg 1 Reg 2 Req 3A Reg 38 Reg 4 Reg 5 Print Verify your answer by preparing a contribution format income statement at the target sales level. References Menlo Company Contribution Income Statement Total Per Unit 4. Refer to the original data Compute the company's margin of safety in both dollar and percentage terms 5. What is the company's CM ratio? If sales increase by $60,000 per month and there is no change in fixed expenses. would you expect monthly net operating income to increase? 1.48 points Complete this question by entering your answers in the tabs below. eBook Req 1 Reg 2 Req Req 3B Req 4 Reg 5 Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. (Round your percentage answer to 2 decimal places (i.e. 0.1234 should be entered a 12.34).) References Dollars Percentage Margin of safety 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. 5. What is the company's CM ratio? If sales increase by $60,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3A Reg 38 Reg 4 Req, What is the company's CM ratio? If sales increase by $60,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? CM ratio Net operating income increases by & Reg4
