Henna Co. produces and sells two products, T and O. It manufactures these products in separate factories and markets them through different channels. They have no shared costs. This year, the company sold 54,000 units of each product. Sales and costs for each product follow.

Sales Variable costs Contribution margin Fixed costs Income before taxes Income taxes (32% rate) Net income Product T $ 885,600 531,360 354,240 210,240 144,000 46,080 $ 97,920 Product o $ 885,600 177, 120 708,480 564,480 144,000 46,080 $ 97,920 Compute the break-even point in dollar sales for each product. (Enter CM ratio as percentage rounded to 2 decimal places.) Product T Contribution Margin Ratio Choose Numerator: Sales = / Choose Denominator: | 1 Fixed costs per unit Contribution Margin Ratio Contribution margin ratio Break-even point in dollars Choose Numerator: 1 Choose Denominator: = Break-Even Point in Dollars = Break-even point in dollars Product O Contribution Margin Ratio Contribution margin ratio 0 Break-Even Point in Dollars = Break-even point in dollars Assume that the company expects sales of each product to decline to 37,000 units next year with no change in unit selling price. Prepare forecasted financial results for next year following the format of the contribution margin income statement as just shown with columns for each of the two products (assume a 32% tax rate). Also, assume that any loss before taxes yields a 32% tax benefit. (Round "per unit" answers to 2 decimal places. Enter losses and tax benefits, if any, as negative values.) Total HENNA CO. Forecasted Contribution Margin Income Statement Product Product 0 Units Per unit Total $ Per unit T otal $ 16.40 $ $ 9.84 0 $ 6.56 210,240 (210,240) $ 0 0 Sales Variable cost Contribution margin Fixed costs Income before taxes Income taxes (tax benefit) Net income (loss) 0 0 210,240 (210,240) Assume that the company expects sales of each product to increase to 68,000 units next year with no change in unit selling price. Prepare forecasted financial results for next year following the format of the contribution margin income statement shown with columns for each of the two products (assume a 32% tax rate). (Round "per unit" answers to 2 decimal places.) HENNA CO. Forecasted Contribution Margin Income Statement Product T Product O Units Per unit Total S Per unit Total $ 0 $ Product Total 0 $ Contribution margin Net income (loss)