Question
Olongapo Sports Corporation distributes two premium golf ballsFlight Dynamic and Sure Shot. Monthly sales and the contribution margin ratios for the two products follow: Product
Olongapo Sports Corporation distributes two premium golf ballsFlight Dynamic and Sure Shot. Monthly sales and the contribution margin ratios for the two products follow:
Product | Total | ||
---|---|---|---|
Flight Dynamic | Sure Shot | ||
Sales | $ 720,000 | $ 280,000 | $ 1,000,000 |
CM ratio | 68% | 76% | ? |
Fixed expenses total $582,000 per month.
Required:
1. Prepare a contribution format income statement for the company as a whole.
2. What is the company's break-even point in dollar sales based on the current sales mix?
3. If sales increase by $48,000 a month, by how much would you expect the monthly net operating income to increase?
Required 1:
Required 2 :
Required 3 :
Please clrearly fill the tables
Flight Dynamic 4 Sure Shot What is the company's break-even point in dollar sales based on the current s calculations. Round your answer to the nearest whole dollar amount.) Complete this question by entering your answer's i If sales increase by $48,000 a month, by how much woul round intermediate calculations. Round your answer to thStep by Step Solution
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