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The contribution margin income statement of Bountiful Bean Coffee for December follows: (Click the icon to view the contribution margin income statement.) Bountiful Bean Coffee sells three small coffees for every large coffee. A small coffee sells for $2.00, with a variable expense of $1.00. A large coffee sells for $6.00, with a variable expense of $3.00. Read the requirements Requirement 1. Determine the coffee shop's monthly breakeven point in the numbers of small coffees and large coffees. Prove your answer by preparing a summary contribution margin income statement at the breakeven level of sales. Show only two categories of expenses: variable and fixed. Begin by identifying the formula to compute the total breakeven point in units. (Abbreviations used: avg. = Average; CM = Contribution margin.) Fixed expenses Operating income ) Weighed-avg. CM per unit Breakeven sales in units Data table + Now calculate the weighted average contribution margin per unit. (Round the weighted average contribution margin per unit to the nearest cent.) Small Large Total B 1 Bountiful Bean Coffee Less 2 Contribution Margin Income Statement 3 Month Ended December 31 4 Sales revenue $ 82,000 5 Less variable expenses: 6 Cost of goods sold $ 21,5001 Weighted average contribution margin per unit 7 15,000 Marketing expense General and administrative expense The breakeven point is small cups and large cups of coffee 8 4,500 41,000 Prepare a summary contribution margin income statement to prove your answer above. (Complete all input fields. For amounts with a $0 balance, make sure to enter "0" in the appropriate input field.) 9 Contribution margin $ 41,000 10 Less fixed expenses: Small Large Total 11 Marketing expense $ 16.800 12 General and administrative expense 4.200 21.000 Less: 20,000 13 Operating income Less: Operating income Print Done Requirement 2. Compute the coffee shop's margin of safety in dollars. Identify the formula to compute the margin of safety in dollars. Margin of safety in dollars Requirement 3. Use the coffee shop's operating leverage factor (using the December contribution margin income statement) to determine its new operating income if sales volume increases 14%. Prove your results using the contribution margin income statement format. Assume that sales mix remains unchanged. Identify the formula to compute the operating leverage factor. Operating leverage factor (Round your answer to two decimal places.) Bountiful Bean Coffee's operating leverage factor is If Bountiful Bean Coffee can increase sales revenue by 14%, keeping the sales mix the same, operating income will be Prepare a summary contribution margin income statement to prove your answer above. (For amounts with a $0 balance, make sure to enter "0" in the appropriate input field.) Bountiful Bean Coffee Effect on Operating Income of 14% Increase in Sales Volume Current level Percent increase Dollar increase Sales revenue 14% 14% Less: Variable expenses Contribution margin Change in fixed expenses Operating income before sales increase Operating income after sales increase