Contribution Margin, Break-Even Sales, Cost Volume: Profit Chart. Margin of safety, and Operating Leverage Belmain Co. expects to maintain the same inventories at the end of 2017 as at the beginning of the year. The total of all production costs for the years therefore assumed to be equal to the cost of goods sold with this in mind, the various department heads were asked to submit estimates of the costs for their departments during the year A summary report of these estimates is as follows: Estimated Fixed Cost Estimated Variable Cost (per unit sold) 522 14 $540,400 11 Production costs Direct materials Direct labor Factory overhead Selling expenses Sales Sales and commissions Advertising Travel Miscellaneous sellingene Administrative expenses Omice and officers' salanes Supplies Miscellaneous administrative expense Total 114.000 38,600 3.600 9,400 2 111.000 13,700 12700 5856,500 Previous Next) Total $856,800 $60 It is expected that 9,520 units will be sold at a price of $200 a unit. Maximum sales within the relevant range are 12,000 units. Required: 1. Prepare an estimated income statement for 2077 Belmain Co. Estimated Income Statement For the Year Ended December 31, 2017 Cost of goods sold Total cost of goods sold 12 Gross profit Expenses Selling expenses Expenses: Selling expenses: $ Total selling expenses Administrative expenses: Total administrative expenses Total expenses Operating income 2. What is the expected contribution margin ratio? Round to the nearest whole percent. % 3. Determine the break-even sales in units and dollars. Units units Dollars