E$6-5($Algo$)$ Calculating Contribution Margin and Contribution Margin Ratio; Identifying Break$-$Even Point, Target Profit $[$LO $6-1,6-2]$

Sandy Bank, Incorporated, makes one model of wooden canoe. Partial information is given below.

Required:

Suppose Sandy Bank sells its canoes for $$510$ each. Calculate the contribution margin per canoe and the contribution margin ratio.

This year Sandy Bank expects to sell $820$ canoes for $$510$ each. Prepare a contribution margin income statement for the company.

Calculate Sandy Bank's break$-$even point in units and in sales dollars. Sandy Bank sells its canoes for $$510$ each.

Suppose Sandy Bank wants to earn $$79,000$ profit this year. Calculate the number of canoes that must be sold to achieve this target. Sandy Bank sells its canoes for $$510$ each.

Complete this question by entering your answers in the tabs below.

Target Sales Units

Canoes