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Solve for the company's break even point in unitates using the format med Solve for the company's break-even point in sales dollars using commochod w

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Solve for the company's break even point in unitates using the format med Solve for the company's break-even point in sales dollars using commochod w the CM the end 4 ratio EXERCISE 3-8 Compute the Margin of Safety (LO 3-7) Mohan Corporation is a distributor of a sun umbrella used al resort hotels Data Concert, next month's budget appear below: Solling price.. Variable expenses Fixed expenses Unit sales $25 per urut $15 per unit $8.500 per month 1,000 units per month Required: Compute the company's margin of safety - Compute the company's margin of safety as a percentage of its sales. EXERCISE 3-9. Compute and Use the Degree of Operating Leverage (LO 3-8] Eneliko Company installs home theater systems. The company's most recent monthly contribution format income statement appears below: Amount Sales Variable expenses Contribution margin Fixed expenses Net operating income s120.000 84.000 36,000 24,000 $ 12,000 100% 70% 30% Required: 1. Compute the company's degree of operating leverage. Using the degree of operating leverage, estimate the impact on net operating income of a 10% increase in sales. 3. Verify your estimate from part (2) above by constructing a new contribution format income statement for the company assuming a 10% increase in sales. EXERCISE 3-10 Compute the Break-Even Point for a Multiproduct Company (LO 3-9] lucky Products markets two computer games: Predator and Runway. A contribution format i come statement for a recent month for the two games appears below: Predator Runway Total Natale expenses Co warg xpenses $100,000 25,000 $50,000 5,000 $150.000 30,000

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