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Klinken Corporation's contribution margin ratio on the sale of its most popular product is 50%. The product is priced at $95, annual fixed expenses are
Klinken Corporation's contribution margin ratio on the sale of its most popular product is 50%. The product is priced at $95, annual fixed expenses are $875,000 Management is evaluating two options: (1) lowering variable costs by 10% and (2) reducing fixed expenses by 10% Required: Calculate the current level of break-even sales in dollars, as well as the break-even sales for the two options. (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Break-even sales in dollars Option 1: Break-even sales in dollars Option 2. Break-even sales in dollars Saved Help Save k Assignment C Magic Realm, Inc. has developed a new fantasy board game. The company sold 16,000 games last year at a selling price of $18 per game. Fixed costs associated with the game total $176,000 per year, and variable costs are $5 per game. Production of the game is entrusted to a printing contractor. Variable costs consist mostly of payments to this contractor Required: 1-a. Prepare an income statement for the game last year. Total Per Unit Sales
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