Exercise 5-18 Break-Even and Target Profit Analysis; Margin of Safety. CM Ratio LO5-1, LO5-3, LO5-5, LO5-6. LO5-7 Menlo Company distributes a single product. The company's sales and expenses for last month follow Total Per Unit 210,00014 90,000 S 6 Sales Variable expenses S 300,000 S 20 Contribution margin Fixed expenses 74,400 Net operating income S 15,600 Required: 1. What is the monthly break-even point in unit sales and in dollar sales? Break-even point in unit sales Break-even point in sales dollars units 2. Without resorting to computations, what is the total contribution margin at the break-even point? Total contribution margin 3-a How many units would have to be sold each month to earn a target profit of $34,2007 Use the formula method Units sold