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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:
Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Contribution margin Sales Variable expenses Fixed expenses Net operating income. Claimjumper $ 96,000 35,560 Makeover $48,000 7,640 Total $144,000 43,200 $ 60,440 $ 40,360 100,800 80,430 20,370 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.
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