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Klein Company distributes a high-quality bird feeder that sells for $30 per unit. Variable costs are $12 per unit, and fixed costs total $261,000 annually.

Klein Company distributes a high-quality bird feeder that sells for $30 per unit. Variable costs are $12 per unit, and fixed costs total $261,000 annually.

Required:
Answer the following independent questions:

a)What is the products CM ratio?

cm ratio %

b)Use the CM ratio to determine the break-even point in sales dollars.

break even point in sales dollars

c)The company estimates that sales will increase by $57,000 during the coming year due to increased demand. By how much should operating income increase?

operating income increases by

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