Please answer the following questions, thanks!

1. Discuss the concept of cost of goods sold. Why is it so important? What is the downside for you, as owner of the company, not knowing what your cost of goods sold on an overall, product line and/or unit basis? Please explain.

2. As the owner of your company, why are contribution margins and contribution margin ratios important to you? Why is the break-even point important to you? If your sales are below the break-even point, would you still keep your company open? Why or why not? If you closed your doors, would you still be responsible for the payment of your fixed expenses? List some of them and state the reason why.