help chapter 4 question 2
X Data Table Creative sells five dozen plain donuts for every dozen custard-filled donuts. A dozen plain donuts sells for $4.00, with total variable cost of $1.60 por dozen. A dozen custard-filled donuts sells for $7.00, with total variable cost of $2.80 per dozen Requirements Creative Donuts Contribution Margin Income Statement Month Ended August 31, 2024 Net Sales Revenue 125,000 Variable Costs Cost of Goods Sold S 32,400 Selling Costs 17.100 Administrative Costs 500 50,000 Contribution Margin 75,000 Fixed Costs Callinn Cele 1. Calculate the weighted-average contribution margin. 2. Determine Creative's monthly breakeven point in dozens of plain donuts and custard-filled donuts. Prove your answer by preparing a summary contribution margin income statement at the breakeven level of sales Show only two categories of costs: variable and fixed. 3. Compute Creative's margin of safety in dollars for August 2024 4. Compute the degree of operating leverage for Creative Donuts. Estimate the now operating income if total sales increase by 20%. (Round the degree of operating leverage to four decimal places and the final answer to the nearest dollar. Assume the sales mix romains unchanged) 5. Prove your answer to Requirement 4 by preparing a contribution margin income statement with a 20% increase in total sales, (The sales mix remains unchanged) Print Done Print Done TOVUTRE en la call from withinhin an 4 ANAF Requirement 1. Calculate the weighted-average contribution margin (Round all currency amounts to the nearest cont.) Plain Filled Total Contribution margin Weighted average contribution margin per unit Requirement 2. Determine Creative's monthly breakeven point in dozens of plain donuts and custard-Filled donuts. Prove your answer by preparing a summary contribution margin income statement at the breakoven level of sales. Show only two categories of costs: variable and fixed We'll begin with the breakeven point. Start by selecting the formula and entering the amounts to compute the breakeven point in units for the package of products-total dozens of donuts to be sold (Complete all input fields. Enter a "0" for any zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Weighted-avg CM-weighted average contribution margin.) - Required sales in units on or overy Oozen custard-lod donuts. A HAR Honda Ace RAREA ANA Determine Creative's monthly breakeven point in dozens of plain donuts and custard-filled donuts The breakeven point is dozen plain donuts and dozen custard-filled donuts Prove your answer by preparing a summary contribution margin income statement at the breakeven ledet of sales. Show only two categories of costs: variable and fixed. (Enter a "o" for any zero balances) Creative Donuts Contribution Margin Income Statement Plain Filled Total Net Sales Revenue Variable Costs Contribution Margin Fixed Costs Orainn Innom The contribution margin income statermont of Creative Donuts for August 2024 | Creative sells five dozen plain donuts for every dozen custard filled donuts. A Requirement 3. Compute Creative's margin of safety in dollars for August 2024 (The contribution margin income statement provided should be used to determine ala) any expected results) = Margin of safety in dollars Requirement 4. Compute the degree of operating leverage for Creative Donuts. Estimate the new operating income if total sales increase by 20% (Round the degree of operating leverage to four decimal places and the final answer to the nearest dollar. Assume the sales mix remains unchanged.) Begin by computing the degree of operating leverage for Creative Donuts. (Round the degree of operating leverage to four decimal places, XXXXX) Degree of operating leverage Estimate the new operating income it tot" sales increase by 20% (Round interim calculations to four decimal places and your final answer to the nearest dollar, Assume the sales mix remains unchanged.) The estimated operating income will be Requirement 5. Prove your answer to Requirement 4 by preparing a contribution margin income statement with a 20% increase in total sales. (Tho sales mix remains unchanged Requirement 5. Prove your answer to Requirement 4 by preparing a contribution margin income statement with a 20% increase in total sales (The sales mix remains unchanged.) Creative Donuts Contribution Margin Income Statement Month Ended August 31, 2024 Net Sales Revenue Variable Costs Contribution Margin Fixed Costs Operating Income TUTTU SULU Ruyu Net Sales Revenue $ 125,000 Variable Costs: Cost of Goods Sold $ 32,400 Selling Costs 17,100 500 Administrative Costs 50,000 Contribution Margin 75,000 Fixed Costs: Selling Costs 36,450 12,150 Administrative Costs 48,600 $ Operating Income 26,400