Linen Company manufactures two products: Product A and Product B. A contribution format income statement related to a recent month for the two products is given below.

6. What is the overall contribution margin ratio? *

30%

40%

60%

70%

None of the above

7. What is the overall break-even point for the company in sales dollars? *

$1,200,000

$1,800,000

$3,150,000

$4,500,000

None of the above

8. What is the amount of relative sales dollars for product A at the break-even point? *

$1,350,000

$3,150,000

$4,500,000

$5,250,000

None of the above

9. What is the amount of total variable expenses for the two products at the break-even point? *

$1,800,000

$2,700,000

$3,000,000

$4,500,000

None of the above

Product B Sales Variable Expenses Contribution Margin Fixed Expenses Net Operating Income Product A $5,250,000 2,700,000 $2,550,000 $2,250,000 1,800,000 $450,000 Total $7,500,000 4,500,000 3,000,000 1,800,000 $1,200,000