Sun Corporation has provided the following contribution format income statement. All questions concern situations that are within the relevant range.

Sales $(5,000$ units$)$ $ $325,000$

Variable expenses $232,500$

Contribution margin $92,500$

Fixed expenses $72,300$

Net operating income $ $20,200$

Required:

What is the margin of safety in dollars?

What is the degree of operating leverage?

$.$

MetaMancine Corporation has provided the following contribution format income statement. All questions concern situations that are within the relevant range.

Sales $(3,500$ units$)$ $ $192,500$

Variable expenses $112,000$

Contribution margin $80,500$

Fixed expenses $46,000$

Net operating income $ $34,500$

Required:

What is the break$-$even point in unit sales?

Estimate how many units must be sold to achieve a target profit of $$57,500.$

$.$

Delisa Corporation has two divisions: Division L and Division Q$.$ Data from the most recent month appear below:

Total Company Division L Division Q

Sales $ $485,000$ $ $167,000$ $ $318,000$

Variable expenses $320,100110,220209,880$

Contribution margin $164,90056,780108,120$

Traceable fixed expenses $107,48029,40078,080$

Segment margin $57,420$ $ $27,380$ $ $30,040$

Common fixed expenses $51,860$

Net operating income $ $5,560$

The break$-$even in sales dollars for Division Q is closest to:

Multiple Choice

$$266,820$

$$229,647$

$$196,879$

$$329,800$

$.$

Data for September concerning Greenberger Corporation's two major business segments$--$Fibers and Feedstocks$--$appear below:

Sales revenues, Fibers $ $900,000$

Sales revenues, Feedstocks $ $845,000$

Variable expenses, Fibers $ $398,000$

Variable expenses, Feedstocks $ $344,000$

Traceable fixed expenses, Fibers $ $128,000$

Traceable fixed expenses, Feedstocks $ $172,000$

Common fixed expenses totaled $$389,000$ and were allocated as follows: $$197,500$ to the Fibers business segment and $$191,500$ to the Feedstocks business segment.

Required:

Prepare a segmented income statement in the contribution format for the company. Omit percentages; show only dollar amounts.