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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: Sales
Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Sales Variable expenses Contribution margin Fixed expenses Net operating income Claimjumper $ 114,000 28,360 Makeover $ 57,000 5,840 $ 85,640 $ 51,160 Total $ 171,000 34,200 136,800 91,440 $ 45, 360 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. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 What is the overall contribution margin (CM) ratio for the company? Overall CM ratio 80 % 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 $ 114,300 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.) Sales Variable expenses Contribution margin Lucido Products Contribution Income Statement Claimjumper Fixed expenses Net operating income (loss) Makeover 85,725 $ 21,325 x 0x 28,575 $ 2,928 X 0x SA Total 114,300 24,250 X 91,440 91,440 0
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