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Exercise 5-10 (Algo) Multiproduct Break-Even Analysis (LO5-9] Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month
Exercise 5-10 (Algo) Multiproduct Break-Even Analysis (LO5-9] Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Sales Variable expenses Contribution margin Fixed expenses Net operating income Claimjumper $116,000 42,760 $ 73,240 Makeover $ 58,000 9,440 $ 48,560 Total $ 174,000 52,200 121,800 80,850 $ 40,950 Required: 1. What is the overall contribution margin (CM) ratio for the company? 2. What is the company's overall break-even point in dollar sales? 3. Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales the two products. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the overall contribution margin (CM) ratio for the company? Overall CM ratio % Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the company's overall break-even point in dollar sales? (Do not round intermediate calculations.) Overall break-even point Required 1 Required 2 Required 3 Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Lucido Products Contribution Income Statement Claimjumper Makeover Total Net operating income (loss)
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