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Required information Skip to question [The following information applies to the questions displayed below.] Henna Co. produces and sells two products, T and O. It

Required information

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[The following information applies to the questions displayed below.] Henna Co. produces and sells two products, T and O. It manufactures these products in separate factories and markets them through different channels. They have no shared costs. This year, the company sold 42,000 units of each product. Sales and costs for each product follow.

Product T Product O
Sales $ 747,600 $ 747,600
Variable costs 523,320 149,520
Contribution margin 224,280 598,080
Fixed costs 108,280 482,080
Income before taxes 116,000 116,000
Income taxes (35% rate) 40,600 40,600
Net income $ 75,400 $ 75,400

Required: 1. Compute the break-even point in dollar sales for each product. (Enter CM ratio as percentage rounded to 2 decimal places.)

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