Smithed Company a wholesale distributor, has been operation

Window Help 20% etflix x 14 (14) WhatsApp X KPU Course: ACCT 5 X WP P6-4 and P6-9 X A SAMPLE SOLU X Connect - Class. X M MHE Reader X C player-ui.mheducation.com/#/epub/sn_9784#epubcfi(%2F6%2F166%5Bdata-uuid-c9fbf8a3a91145468875194ea98a3f2e%5D!%2F4%2F52%5Bdata-uuid-049afaca rail YouTube Maps As shown by these data, operating income is budgeted at $36,400 for the month, break-even sales dollars at $430,000, and break- even unit sales at 1,720. Assume that actual sales for the month total $504,000 (2, 100 units), with the CM ratio and per unit amounts the same as budgeted. Actual fixed expenses are the same as budgeted, $223,600. Actual sales by product are as follows: sinks, $126,000 (525 units); mirrors, $210,000 (1,050 units); and vanities, $168,000 (525 units). Required: 1. Prepare a contribution format income statement for the month based on actual sales data. Present the income statement in the format shown above. 2. Compute the break-even point in sales dollars for the month, based on the actual data. 3. Calculate the break-even point in unit sales for the month, based on the actual data. 4. Considering the fact that the company exceeded its $500,000 sales budget for the month, the president is shocked at the results shown on your income statement in (1) above. Prepare a brief memo for the president explaining why both the operating results and the break-even point in sales dollars are different from what was budgeted. PROBLEM 4-21 Basic Cost-Volume-Profit Analysis; Break-Even Point; Cost Structure; Target Sales [LO1 {, LO2 2). L040, L05 (D , L06 2 , LO8 2 ] Northwood Company manufactures basketballs. The company has a ball that sells for $25. At present, the ball is manufactured in a small plant that relies heavily on direct-labour workers. Thus, variable expenses are high, totalling $15 per ball, of which 60% is direct labour cost