Joe's Tax Service provides professional accounting and tax services. All tax return services and classified into one of three categories: standard, multiform, and complex. Following is information for last year. Also, last year, the fixed cost of rent, utilities, and so forth were $$50,000.$

Standard Multiform Complex

Billing rate $$50$ $$125$ $$250$

Average variable costs $(30)(75)(150)$

Average contribution margin $$20$ $$50$ $$100$

Number of returns prepared $1,750500250$

Required

$($a$.)$ Determine Joe's break$-$even dollar sales volume.

Multiple Product Break$-$Even Analysis

last year, the fixed cost of rent, utilities, and so forth were $$50,000.$

Required

$($a$.)$ Determine Joe's break$-$even dollar sales volume.

$($b$.)$ Determine Joe's margin of safety in sales dollars. Hint: Use weighted average billing rate.

$$117,347$

$($b$.)$ Determine Joe's margin of safety in sales dollars. Hint: Use weighted average billing rate.

$Answer $11$

$117,347$