Gogan Company manufactures and sells two products: Basic and Deluxe. Monthly sales, CM ratios, and the CM per unit for the two products are shown below:

	Product
	Basic			Deluxe			Total
Sales	$	600,000		$	400,000		$	1,000,000
Contribution margin ratio		60	%		35	%		?
Contribution margin per unit	$	9.00		$	11.50			?

The companys fixed expenses total $400,000 per month.

Required: 1. Prepare a contribution format income statement for the company as a whole. 1.000.000 Basic Deluxe Total Amount Amount % Amount Sales S600,000 60 $400,000 40 Variable expenses 240,000 24 260,000 52 500,000 Contribution margin $360,000 38 S140,000 (12) S 500,000 Fixed expenses 400,000 Operating income S 100,000 Red at indicates no response was expected in a eller formulated calculation is correct; ne points deducted % 100 100 % 2. Compute the overall break-even point in dollars for the company based on the current sales mix. Break-even point in total dollar $ 800.000 3. Compute the overall break-even point in units for the company based on the current sales mix. (Do not round intermediate calculations. Round your final answer to nearest whole number.) Break-even in 41.754 units 4-a. If sales increase by $50,000 per month, by how much would you expect operating income to increase? Operating income increased by $ 125,000 4.b. What are your assumptions? (Select all that apply.) No change in selling prices No change in variable costs per No change in fixed expenses No change in sales mix Change in selling prices Change in variable costs per unit Change in fixed expenses Change in sales mix 5-a. If sales increase by 5,000 units per month, by how much would you expect operating income to increase? Operating income increased by $147,918