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Table Tools PracticeQuestionsCVP(7712] Read-Only Layout References Mailings Review View Help Design Layout P Tell me what you want to do Normal 1 No Spac. Heading
Table Tools PracticeQuestionsCVP(7712] Read-Only Layout References Mailings Review View Help Design Layout P Tell me what you want to do Normal 1 No Spac. Heading 1 Heading2 TitleSubtitle Subtle Em. Styles Question 2 Meuofax, Inc. produces memory enhancement kits for fax machines Sales have been very erratic, with some months showing a profit and some months showing a loss. The company's contribution format income staterment for the most recent month is given below Sales (13,500 S270000 135,000 135,000 150 000 (15,000) units at $20 per unit) Variable expenses margn Fixed expenses Net operating loss DOLL F8 F9 F10 F11 F12 F3 F4 FS F6 F7 AdBbC AaBbCclt AaBbCcD AaBbCcDd AoBbCDd ormal 1 No Spac... Heading 1 Heading 2 Title Subtitle Subtle Em.. Emphasis share OFind Replace Select Dictate Edteg Styles Required: 1. Compute the company's CM ratio and its break even point in both unith and dollars, (Omit the " signs in your response.) ad"S CM ratio Break-even point in units Break-even point in dollars 2. The sales manager feels that an $7,700 increase in the monthly advertising budget, combined with an intensfied effort by the sales staff, will result in a $69,000 increase in monthly sales. If the sales manager is right, what will the revised net operating income or loss? (Use the incremental approach in preparing your answer) Dnput the amount as a positive value. Omit the "S sign in your response.) (Click to select) 15 Refer to the original data. The increase of $36,000 in the monthly advertising budget, will double unit sales. What will the new contribution format income statement look like if these changes are adopted? (Iaput all amounts as positive values excopt losses which should be indicated by minus sign. Omit the "$" sign in your response.) 3. president is convinced that a 10% reduction m the selling price, combined with an Contribution Income Statement (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) 4. Refer to the original data The company's advertising agency thinks that a new package would help sales. The new package being proposed would increase packaging costs by $0.40 per unit. Assuming no other changes, how many units would have to be sold each month to earn a profit of $4,400? (Round your intermediate calculations to 2 decimal places and final answer to the nearest whole number.) Sales units DELL F9 F10 F11 F3 F4 F5 F6 F7 F8
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