The budgets of four companies yield the following information:

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Requirements

1.	Fill in the blanks for each company.
2.	Compute breakeven, in sales dollars, for each company. Which company has the lowest breakeven point in sales dollars? What causes the low breakeven point?

Requirement 1. Fill in the blanks for each company. (Round the contribution margin per unit and ratio calculations to two decimal places.)

		Q
	Target sales. . . . . . . . . . . . . . . . . .	$680,000
	Variable expenses. . . . . . . . . . . . .	170,000
	Fixed expenses. . . . . . . . . . . . . . .
	Operating income (loss). . . . . . . .	$150,000
	Units sold. . . . . . . . . . . . . . . . . . . .
	Contribution margin per unit. . . .	$6.25
	Contribution margin ratio. . . . . . .

Company

Q

R

S

T

Target sales. . . . . . . . . . . . . . . .

$680,000

$445,000

$224,000

$

Variable expenses. . . . . . . . . .

170,000

270,000

Fixed expenses. . . . . . . . . . . . .

159,000

93,000

Operating income (loss). . . . . .

$150,000

$

$

$133,000

Units sold. . . . . . . . . . . . . . . . .

106,800

12,500

18,000

Contribution margin per unit. .

$6.25

$

$8.96

$35.00

Contribution margin ratio. . . . .

0.60