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Homework: Chapter 20 Homework Save Score: 0 of 1 pt 4 of 4 (3 complete) HW Score: 33.33%, 1.33 of 4 P20-40A (similar to Question

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Homework: Chapter 20 Homework Save Score: 0 of 1 pt 4 of 4 (3 complete) HW Score: 33.33%, 1.33 of 4 P20-40A (similar to Question Help E Question Help National Investor Group is opening an office in Portland, Oregon. Fixed monthly costs are office rent ($8,300), depreciation on office funiture ($2,000), utilities ($2,400), special telephone lines ($1,200), a connection with an online brokerage service ($2,500), and the salary of a financial planner ($11,600). Variable costs include payments to the financial planner (8% of revenue), advertising (13% of revenue supplies and postage (3% of revenue), and usage fees for the telephone lines and computerized brokerage service (6% of revenue). Read the reguirements Requirement 1. Use the contribution margin ratio approach to compute National's breakeven revenue in dollars. If the average trade leads to $800 in revenue for National, how many trades must be made to break even? Begin by showing the formula and then entering the amounts to calculate the required sales dollars for National to break even. (Abbreviation used: CM-contribution margin.) Required sales in dollars Requirements 1. Use the contribution margin ratio approach to compute Nationals breakeven revenue in dollars. If the average trade leads to $800 in revenue for National, how many trades must be made to break even? Use the equation approach to compute the dollar revenues needed to earn a monthly target profit of $11,200. 2. 3. Graph National's CVP relationships. Assume that an average trade leads to $800 in revenue for National. Show the breakeven point, the sales revenue line, the fixed cost line, the total cost line, the operating loss area, the operating income area, and the sales in units (trades) and dollars when 4. Suppose that the average revenue National earns increases to $2,000 per trade. Compute the new breakeven point in trades. How does this affect the breakeven point? Choose fro (Round your answers to the nearest whole number.) 14 rem Print Done

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