Inc, produces a single product. The results of the company's operations for a

typical month are summarized in contribution format as follows:

Sales

...................................

$540,000

Variable expenses

...............

360,000

Contribution margin

...........

180,000

Fixed expenses

...................

120,000

Net operating income

.........

$

60,000

The company produced and sold 120,000 kilograms of product during the month. There

were no beginning or ending inventories.

Required:

a

Given the present situation, compute

1

The break-even sales in kilograms.

2

The break-even sales in dollars.

3

The sales in kilograms that would be required to produce net operating income of

$90,000.

4

The margin of safety in dollars.