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Presented here is the income statement for Big Sky Incorporated for the month of February: sales $ 6 0 , 5 0 0 , Cost

Presented here is the income statement for Big Sky Incorporated for the month of February: sales $60,500, Cost of goods sold $53,600, Gross profit $6,900, Operating expenses $14,200, operating loss ($7,300). Based on an analysis of cost behavior patterns, it has been determined that the company's contribution margin ratio is 19%. Required: a. Rearrange, the preceding income statement to the contribution margin format. b. If sales increase by 10% what will be the firm's operating income (or loss)? c. Calculate the amount of revenue required for Big Sky to break even.

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