SheridanCash, Ltd. operates a chain of exclusive ski hat boutiques in the western United States. The stores purchase several hat styles from a single distributor at $11each. All other costs incurred by the company are fixed.SheridanCash, Ltd. sells the hats for $44each.

A. If fixed costs total $462,000per year, what is the breakeven point in units? In sales dollars?

Break even point for hats =

Break even sales =

B. What isSheridanCash's contribution margin ratio? Its variable cost ratio?

Contribution margin ratio % =

Variable cost ratio %=