P7-63A (similar to) Try Spirn Calendars imprints Calendars with college names. The company has fed expenses of $1.125.000 each month plus variable expenses of $4.50 per carton of calendars of the variable experie 74 is cost of goods sold, while the remaining 20% relates to variable operating expenses. The company s ach carton of calendars for $19.50 Road the requirements Requirement 1. Compute the number of cartons of calendars that Try Spirit Calendars must sel each month to breakeven Begin by determining the basic income statement equation Sales revenue Food expenses Variable expenses Opening income Using the basic income statement equation you determined above slive for the number of cartons to break even cartons The breakeven sales is Try Spirit Calendars imprints calendars with college names. The company has fixed expenses of $1,125,000 each month plus variable exp of goods sold, while the remaining 26% relates to variable operating expenses. The company sells each carton of calendars for $19.50. Read the requirements. Requirement 1. Compute the number of cartons of calendars that Try Spirit Calendars must sell each month to breakeven. Begin by determining the basic income statement equation. Sales revenue Fixed expenses Variable expenses = Operating income Using the basic income statement equation you determined above solve for the number of cartons to break even. The breakeven sales is cartons. Enter any number in the edit fields and then click Check Answer. Clear All 9 parts remaining Braun 5 mes. The company has fixed expenses of $1,125,000 each month plus variable expenses of $4.50 per cart le op i Requirements ndars ses ned all 1. Compute the number of cartons of calendars that Try Spirit Calendars must sell each month to break even. 2. Compute the dollar amount of monthly sales that the company needs in order to earn $338,000 in operating income (round the contribution margin ratio to two decimal places). 3. Prepare the company's contribution margin income statement for June for sales of 470,000 cartons of calendars. 4. What is June's margin of safety (in dollars)? What is the operating leverage factor at this level of sales? 5. By what percentage will operating income change if July's sales volume is 14% higher? Prove your answer. Print Done eck A Clear All