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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: Total
Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Total $165,000 41,250 123,750 Claimjumper Makeover Sales $110,000 $55,000 Variable 34,000 7,250 expenses Contribution $ 76,000 $47,750 margin Fixed expenses Net operating income 85,950 $ 37,800 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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