The contribution margin income statement of Too Sweet Donuts for August 2018 follows: (Click the icon to view the contribution margin income statement.) Too Sweet sells two dozen plain donuts for every dozen custard-filled donuts. A dozen plain donuts sells for $4.00, with total variable cost of $1.60 per dozen. A dozen custard-filled donuts sells for $8.00, with total variable cost of $3.20 per dozen Read the requirements. Requirement 1. Calculate the weighted average contribution margin. (Round all currency amounts to the nearest cent.) Data Table Plain Filled Total Too Sweet Donuts Contribution Margin Income Statement Month Ended August 31, 2018 Net Sales Revenue $ 128,000 Contribution margin Variable Costs: Weighted average contribution margin per unit Cost of Goods Sold $ 32,000 Selling Costs ly Requirement 2. Determine Too Sweet's monthly breakeven point in dozens of plain donuts and custard-filled donuts. Prove your answer by preparing a summary contrit two categories of costs: variable and fixed. 17,400 1,800 51,200 Administrative Costs Contribution Margin Fixed Costs: 76,800 We'll begin with the breakeven point. Start by selecting the formula and entering the amounts to compute the breakeven point in units for the "package" of products-tota zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Weighted-avg. CM = weighted average contribution margin.) Required sales in units ny Selling Costs ) + 21,600 7,200 28,800 Administrative Costs Determine Too Sweet's monthly breakeven point in dozens of plain donuts and custard-filled donuts. 48,000 Operating Income The breakeven point is dozen plain donuts and dozen custard-filled donuts. Prove your answer by preparing a summary contribution margin income statement at the breakeven level of sales. Show only two categories of costs: variable and fixed. Print Done Too Sweet Donuts Contribution Margin Income Statement Choose from any list or enter any number in the input fields and then continue to the next question. ? The contribution margin income statement of Too Sweet Donuts for August 2018 follows: (Click the icon to view the contribution margin income statement.) Too Sweet sells two dozen plain donuts for every dozen custard-filled donuts. A dozen plain donuts sells for $4.00, with total variable cost of $1.60 per dozen. A dozen custard-filled donuts sells for $8.00, with total variable cost of $3.20 per dozen Read the requirements. Prove your answer by preparing a summary contribution margin income statement at the breakeven level of sales. Show only two categories of costs: variable and fixed. Data Table Too Sweet Donuts Contribution Margin Income Statement Plain Filled Total Too Sweet Donuts Net Sales Revenue Variable Costs Contribution Margin Income Statement Month Ended August 31, 2018 Net Sales Revenue $ 128,000 Contribution Margin Fixed Costs Variable Costs: Operating Income Cost of Goods Sold $ Requirement 3. Compute Too Sweet's margin of safety in dollars for August 2018. (The contribution margin income statement provided should be used to determine an Selling Costs 32,000 17,400 1,800 51,200 Administrative Costs = Margin of safety in dollars Contribution Margin 76,800 Fixed Costs: Selling Costs Requirement 4. Compute the degree of operating leverage for Too Sweet Donuts. Estimate the new operating income if total sales increase by 10%. (Round the degree nearest dollar. Assume the sales mix remains unchanged.) Begin by computing the degree of operating leverage for Too Sweet Donuts. (Round the degree of operating leverage to four decimal places, X.XXXX.) 21,600 7,200 Administrative Costs 28,800 $ 48,000 Operating Income Degree of operating leverage Print Done Estimate the new operating income if total sales increase by 10%. (Round interim calculations to four decimal places and your final answer to the nearest dollar. Assume The estimated operating income will be Choose from any list or enter any number in the input fields and then continue to the next question. ? The contribution margin income statement of Too Sweet Donuts for August 2018 follows: (Click the icon to view the contribution margin income statement.) Too Sweet sells two dozen plain donuts for every dozen custard-filled donuts. A dozen plain donuts sells for $4.00, with total variable cost of $1.60 per dozen. A dozen custard-filled donuts sells for $8.00, with total variable cost of $3.20 per dozen. Read the requirements. Requirement 3. Compute Too Sweet's margin of safety in dollars for August 2018. (The contribution margin income statement provided should be used to determine an Data Table = Margin of safety in dollars Too Sweet Donuts Requirement 4. Compute the degree of operating leverage for Too Sweet Donuts. Estimate the new operating income if total sales increase by 10%. (Round the degree nearest dollar. Assume the sales mix remains unchanged.) Begin by computing the degree of operating leverage for Too Sweet Donuts. (Round the degree of operating leverage to four decimal places, X.XXXX.) Contribution Margin Income Statement Month Ended August 31, 2018 Net Sales Revenue $ 128,000 Degree of operating leverage Variable Costs: Cost of Goods Sold $ 32,000 Estimate the new operating income if total sales increase by 10%. (Round interim calculations to four decimal places and your final answer to the nearest dollar. Assume Selling Costs 17,400 1,800 The estimated operating income will be Administrative Costs 51,200 Requirement 5. Prove your answer to Requirement 4 by preparing a contribution margin income statement with a 10% increase in total sales. (The sales mix remains un Contribution Margin 76,800 Too Sweet Donuts Fixed Costs: Selling Costs 21,600 7,200 28,800 Contribution Margin Income Statement Month Ended August 31, 2018 Net Sales Revenue Administrative Costs Operating Income 48,000 Variable Costs Contribution Margin Print Done Fixed Costs Operating Income Choose from any list or enter any number in the input fields and then continue to the next