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Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Makeover
Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Makeover $ 59,000 Claimjumper $118,000 36,400 $ 81,600 Sales Variable expenses Contribution margin Fixed expenses Net operating income 7,850 $ 51, 150 Total $ 177,000 44,250 132,750 83, 250 $ 49,500 Required: 1. What is the overall contribution margin (CM) ratio for the company? 2. What is the company's overall break-even point in dollar sales? 3. Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the company's overall break-even point in dollar sales? (Do not round intermediate calculations.) Overall break-even point $ 113,700 X X Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Lucido Products Contribution Income Statement Claimjumper Makeover Total Sales $ 37,900 X $ 113,700 75,800 X $ 23,382 X Variable expenses 5,043 X 28,425 Contribution margin 52,418 $ 32,857 85,275 Fixed expenses 85,275 X Net operating income (loss) $ 0
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