Owner Shan Lo is considering franchising her Happy Noodles restaurant concept. She believes people will pay $4.75 for a large bowl of noodles. Variable costs are $1.90 a bowl. Lo estimates monthly fixed costs for franchisees at $8,850 Read the requirements. Requirement 1. Find a franchisee's breakeven sales in dollars. Begin by identifying the formula to compute the sales in units at various levels of operating income using the contribution margin approach. ( Fixed expenses + Operating income ) Contribution margin ratio =Breakevensalesindollars The breakeven sales in dollars is Requirements 1. Find a franchisee's breakeven sales in dollars. 2. Is franchising a good idea for Lo if franchisees want a minimum monthly operating income of $6,000 and Lo believes that most locations could generate $24,000 in monthly sales