Gilbert's Steel Parts produces parts for the automobile industry. The company has monthly fixed costs of $640,220 and a contribution margin of 85% of revenues. Read the requirements Requirement 1. Compute Gilbert's monthly breakeven sales in dollars. Use the contribution margin ratio approach, Select the labels and enter the amounts to calculate the breakeven point in dollars using the contribution margin approach. (Enter a "O" for any zero amounts. Round your answer to the nearest dollar. Abbreviation used: CM = contribution margin.) ) + Required sales in dollars 1 + Requirement 2. Use contribution margin income statements compute Gilbert's monthly operating income or operating loss if revenues are $500,000 and if they are $1,050,000. Begin by selecting the labels for the contribution margin income statement. Then enter the amounts and calculate operating income or loss when revenues are $500,000. Then in the next step, calculate operating income or loss when revenues are $1,050,000. (Use a minus sign or parentheses for a loss.) Gilbert's Steel Parts Contribution Margin Income Statement Revenues are Revenues are $ 500,000 S 1,050,000 Operating Income (Loss) Requirement 3. Do the results in Requirement 2 make sense given the breakeven sales you computed in Requirement 1? Explain. The results in Requirument 2 make sense given the breakeven sales computed in Requirement 1. Given the breakeven point of it is logical that sales above the breakeven point will result in and sales below the breakeven point will result in Requirements 1. Compute Gilbert's monthly breakeven sales in dollars. Use the contribution margin ratio approach. 2. Use contribution margin income statements to compute Gilbert's monthly operating income or operating loss if revenues are $500,000 and if they are $1,050,000. 3. Do the results in Requirement 2 make sense given the breakeven sales you computed in Requirement 1? Explain. Print Done