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CVP and BEP 3 Monique Inque, manufactures Unique, a patented ralnbow coat of many colours. 4 Monique has a patent pending for the raln-repellant exterlor

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CVP and BEP 3 Monique Inque, manufactures Unique, a patented ralnbow coat of many colours. 4 Monique has a patent pending for the raln-repellant exterlor shell They anticipate Its approval In 6 Increase to $330 per raincoat and foued costs to remaih rather steady at $1,100,00. Management s per coat for next year. Management has 5 the near future. are in the process of budgeting for next year. They anticpate variable costs to 7 belleves that product pricing to customers will Increase. They t anticipate a sales price point of $A40 anty of sales for net year. s not estimated the quantity of sales for next year 10 11 1 Determine the projected CONTRIBUTION MARGIN RATIO 12 13 14 15 16 17 18 19 20 2. Determine the projected BREAK-EVEN POINT- QUANTITY 21 24 25 27 29 3. Determine the projected BREAK-EVEN POINT-SALES. 30 31 4. Determine Monique's NET OPERATING INCOME if they are able to increase sales volume to 11 500 raincoats. Vanable expense / raincoat, fxed costs, and sales price /raincoat remain the same as the projections above CVP BEP 3

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