Ramada Company produces one golf cart model. A partially complete table of company costs follows:

Number of golf carts produced and sold	800	1,000	1,200
Total costs
Variable costs	$ ?	$ 600,000	$ ?
Fixed costs per year	?	360,000	?
Total costs	?	$ 960,000	?
Cost per unit
Variable cost per unit	?	?	?
Fixed cost per unit	?	?	?
Total cost per unit	?	?	?

Required:

1. Complete the table.

2. Ramada sells its carts for $1,500 each. Prepare a contribution margin income statement for each of the three production levels given in the table.

4. Calculate Ramadas break-even point in number of units and in sales revenue. Ramada sells its carts for $1,500 each.

5. Assume Ramada sold 450 carts last year. Without performing any calculations, determine whether Ramada earned a profit last year.

6. Calculate the number of carts that Ramada must sell to earn $90,000 profit. Ramada sells its carts for $1,500 each.

7. Calculate Ramadas degree of operating leverage if it sells 1,050 carts. Ramada sells its carts for $1,500 each.

8. Using the degree of operating leverage, calculate the change in Ramadas profit if sales are 15 percent less than expected.

\begin{tabular}{|l|l|l|l|l|} \hline Golf Carts Produced and Sold & 800 units & 1,000 units & 1,200 units \\ \hline \hline & & & & \\ \hline Contribution Margin & & & & \\ \hline & & & & \\ \hline \hline \end{tabular}