Skippy Quadcopters plans to sell a standard quadcopter (toy drone) for $40 and a deluxe quadcopter for $70. Skippy purchases the standard quadcopter for $20 and the deluxe quadcopter for $45. Management expects to sell two deluxe quadcopters for every three standard quadcopters. The company's monthly fixed expenses are $17,600. How many of each type of quadcopter must Skippy sell monthly to breakeven? To earn $12,100? $ First identify the formula to compute the sales in units at various levels of operating income using the contribution margin approach. (Abbreviations used: Avg. = average, and CM = contribution margin.) ( Fixed expenses Operating income 1+ Weighed-avg. CM per unit = Breakeven sales in units Next compute the weighted-average contribution margin per unit. First identify the formula labels, then complete the calculations step by step. Standard Deluxe Total Sale price per unit 40 $ 70 Deduct Variable expense per unit (20) (45) Contribution margin per unit 20 $ 25 Sales mix in units 2 5 110 Contribution margin 60 $ 22 Weighted average contribution margin per unit How many of each type of quadcopter must Skippy sell monthly to breakeven? 3 50 Skippy must sel standard quadcopters and deluxe quadcopters to breakeven