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Pringle Company distributes a single product. The companys sales and expenses for a recent month follow: nstructions I help Question I (Of 2) save &
Pringle Company distributes a single product. The companys sales and expenses for a recent month follow:
nstructions I help Question I (Of 2) save & Exit 1. value: 5.00 points Pringle Company distributes a single product. The company's sales and expenses for a recent month follow: Sales Variable expenses Contribution margin Fixed expenses Net operating income Requi red: Total 916,000 431,200 184,800 144.000 s 40,800 Per Unit $40 28 s 12 l. What is the monthly break-even point in units sold and in sales dollars? Break-even point in unit sales Break-even point in sales dollars units 2. Without resorting to computations, what is the total contribution margin at the break-even point? Total contribution margin 3. How many units would have to be sold each month to eam a target profit of S84,000? Use the formula method. units sold 4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. (Round your percentage answer to 2 decimal places.) Margin Of safety 5. What is the company's CM ratio? If monthly sales increase by $88,000 and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase? CM ratio Net operating income increases by Submlt 10:10 PM 7/13/2016
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