prefer to calculate the breakeven point in terms of sales dollars rather than units.

Read the requirements.

Requirement $1.$ What is Victor's current operating income?

Begin by identifying the formula to compute the operating income.

Sales revenue $-$ Fixed expenses $,$ Variable expenses $=$ Operating income

The operating income is

Requirement $2.$ What is Victor's contribution margin ratio?

Begin by identifying the formula to compute the contribution margin ratio.

Contribution margin $$ Sales revenue $,=,$ Contribution margin ratio

$($Enter the ratio as a whole percent.$)$

The contribution margin ratio is $,76\%.$

Requirement $3.$ What is the company's breakeven point in sales dollars? $($Hint: The contribution margin ratio calculated in Requirement $2$ is already weighted by the company's actual sales mix.$)$

Begin by identifying the formula to compute the breakeven point in sales dollars.

$($ Fixed expenses $+$ Operating income