Joker Ltd. sells tyres. In July 2020, the company reported the following operating results.

Sales revenue (5,000 units)	$600,000
Cost of goods sold (variable)	360,000
Gross profit	240,000
Variable operating expenses	40,000
Fixed operating expenses	130,000
Profit	$70,000

Required:

(a) Use the following template and calculate the monthly breakeven point (for July) in unit and the margin of safety (MOS) as a percentage based on above financial information of Joker Ltd.

(4 marks)

Item	Answer
Selling price per unit	$
Variable cost per unit	$
Contribution margin per unit	$
Total fixed costs	$
Break-even point in unit for July	units
Margin of safety in percentage for July	%

Working: