Data table

$\backslash$table$[[\backslash$table$[[$Cos$],[$Contribution Me$],[$Month End$]],\backslash$table$[[$on$],[$Inc$],[$gus$]],31,2024,$mer,$],[$Net Sales Revenue,,,$$,126,000],[$Variable Costs:$],[$Cost of Goods Sold,$$,32,400,,],[$Selling Costs,,$17,600,,],[$Administrative Costs,,$6,700,,56,700],[$Contribution Margin,,,,$69,300],[$Fixed Costs:$],[$Selling Costs,,$34,650,,],[$Administrative Costs,,$11,550,,46,200],[$Operatina Income,,,$$,23,100]]$The contribution margin income statement of Cosmic Donuts for August $2024$ follows:

$($Click the icon to view the contribution margin income statement.$)$

Cosmic sells five dozen plain donuts for every two dozen custard$-$filled donuts. A

dozen plain donuts sells for $$4\mathrm{.}00,$ with total variable cost of $$1\mathrm{.}80$ per dozen. A

dozen custard$-$filled donuts sells for $$6\mathrm{.}80,$ with total variable cost of $$3\mathrm{.}06$ per dozen.

Read the requirements.

Requirement $1.$ Calculate the weighted$-$average contribution margin. $($Round all currency amounts to the nearest cent.$)$Requirement $2.$ Determine Cosmic's monthly breakeven point in dozens of plain donuts and custard$-$filled donuts. Prove your answer by preparing a summary contribution margin income

statement at the breakeven level of sales. Show only two categories of costs: variable and fixed.

We'll begin with the breakeven point. Start by selecting the formula and entering the amounts to compute the breakeven point in units for the "package" of products$-$total dozens of donuts

to be sold. $($Complete all input fields. Enter a $"0"$ for any zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Weighted$-$avg. CM $=$ weighted$-$average

contribution margin.$)$

Determine Cosmic's monthly breakeven point in dozens of plain donuts and custard$-$filled donuts.

The breakeven point is

dozen plain donuts and

dozen custard$-$filled donuts.Prove your answer by preparing a summary contribution margin income statement at the breakeven level of sales. Show only two categories of costs: variable and fixed. $($Enter a $"0"$ for any

zero balances.$)$Requirement $3.$ Compute Cosmic's margin of safety in dollars for August $2024.($The contribution margin income statement provided should be used to determine any expected results.$)$

Requirement $4.$ Compute the degree of operating leverage for Cosmic Donuts. Estimate the new operating income if total sales increase by $10\%.($Round the degree of operating leverage

to four decimal places and the final answer to the nearest dollar. Assume the sales mix remains unchanged.$)$

Begin by computing the degree of operating leverage for Cosmic Donuts. $($Round the degree of operating leverage to four decimal places, X$.$XXXX$.)$

Estimate the new operating income if total sales increase by $10\%.($Round interim calculations to four decimal places and your final answer to the nearest dollar. Assume the sales mix

remains unchanged.$)$

The estimated operating income will beRequirement $5.$ Prove your answer to Requirement $4$ by preparing a contribution margin income statement with a $10\%$ increase in total sales. $($The sales mix remains unchanged.$)$

Cosmic Donuts

Contribution Margin Income Statement

Month Ended August $31,2024$

Net Sales Revenue

Variable Costs

Contribution Margin

Fixed Costs

Operating Income