Problem 5-3A (Video) Sunland Company bottles and distributes B-Lite, e diet soft drink. The beverage is sold for 60 cents per 16-ounce bottle to retailers, who charge customers 75 cents per bottle. For the year 2020, management estimates the following revenues and costs. Sales $1,920,000 $147,000 Selling expenses variable Selling expenses- Direct materials 410,000 fixed 52,000 Direct labor 27,000 370,000 Administrative expenses-variable 390,000 Administrative expenses-fixed 280,000 Manufacturing overhead-variable Manufacturing overhead-fixed 42,400 ZYour answer is partially correct. Try again. Prepare a CVP income statement for 2020 based on management's estimates. SUNLAND COMPANY CVP Income Statement (Estimated) For the Year Ending December 31, 2020 Sales $1,920,00 Variable Expenses Cost of Goods Sold 1,170,00 Selling Expenses 147,000 Administrative Expenses 27,000 Total Variable Expenses 1,344,00 Contribution Margin + 576,000 Fixed Expenses Administrative Expenses 42,000 Selling Expenses . 42,000 Cost of Goods Sold + 280,000 Total Fixed Expenses 374,400 Net Income/(Loss) 201,600 SHOW SOLUTION SHOW SOLUTION Your answer is correct. Calculate variable cost per bottle. (Round variable cost per bottle to 3 decimal places, e.g. 0.251.) Variable cost per bottle 0.42 SHOW SOLUTION LINK TO TEXT LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR PROBLEM Your answer is correct. Compute the break-even point in (1) units and (2) dollars. (Round answers to o decimal places, e.g. 1,225.) (1) Compute the break-even point 2,080,00 units (2) Compute the break-even point 1,248,00 SHOW SOLUTION LINK TO TEXT LINK TO TEXT LINK TO TEXT VIDEO SIMILAR HURLEM Your answer is incorrect. Try again. Compute the contribution margin ratio and the margin of safety ratio. (Round variable cost per bottle to 3 decimal places, e.g. 0.25 and final answers to O decimal places, e.g. 25%.) Contribution margin ratio 44% Margin of safety ratio 56% SHOW SOLUTION Your answer is incorrect. Try again. Determine the sales dollars required to earn net income of $180,000. (Round answer to O decimal places, e.g. 1,225.) Required sales dollars Click if you would like to Show Work for this question: Open Show Work SHOW SOLUTION