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Enter Formulas* 1. Determine the break-even point 2. compute the margin of safety and explain its significance 3. Comote the degree of operating leverage at

image text in transcribedimage text in transcribedEnter Formulas*

1. Determine the break-even point 2. compute the margin of safety and explain its significance 3. Comote the degree of operating leverage at a particular eve of sales and explain how it can be used to predict changes in ne DH CUP Analysis FORMULAS DATA FILE HOME INSERT PAGE LAYOUT REVIEW VIEW Signi Cat 11 AA Alignment Number Conditional Format as Cell Cell Formatting Table Styles S A Given the following information complete a CVP analysis A1 A D the following info 2 for JPL, Inc: nation complete a cve analysis 4 Unit sales 5 Selling price per unit variable expenses per unit 7 Fixed expenses 11,200 units $75 per unit 545 per unit 5210,000 10 per unit per unit per unit 9 Use the data to answer the following 11 1. compute the CM radio and variable expense ratio 12 Selling price per unit 13 variable expenses per unit 14 Contribution margin per unit 15 16 CM DO 17 variable expense ratio 18 19 2. Compute the break-even point 20 Break-even in unit sales 21 Break-even in dollar sales 22 23 3. Compute the margin of safety 24. Martin of safety in dollars units 1. Determine the break-even point. 2 compute the margin of safety and explain its significance. 3. Compute the degree of operating everage at a particular eve of sales and explain how it can be used to predict changes in net operating Income 7 CVP Analysis Excel FORMULAS DATA PLE HOME INSERT PAGE LAYOUT REVIEW VIEW Sign In | AN B BIU Cells Alignment Number Conditional Formats Cell Formatting Table Styles Styles Dipboard Foel A1 Given the following information complete a CVP analysis c D E 13 variable expenses per unit 14 Contribution margin per unit per unit per unit units 16 CM ratio 17 variable expense ratio 18 19 2. Compute the break-even point 20 Break-even in unit sales 21 Break-even in dollar sales 22 23 3. Compute the margin of safety 24 Margin of safety in dollars 25 Margin of safety percentage 26 27 4. Compute the degree of operating leverage 28 Sales 29 variable expenses 30 Contribution margin 31 Fixed expenses 22 Net operating income 33 34 Degree of operating leverage 35 36

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