The following CVP income statements are available for Blanc Company and Noir Company.

		Blanc Company		Noir Company
Sales		$450,000		$450,000
Variable costs		270,000		225,000
Contribution margin		180,000		225,000
Fixed costs		162,000		207,000
Net income		$18,000		$18,000

Calculate Contribution margin ratio. (Round answers to 2 decimal places, e.g. 0.32.)

		Contribution Margin Ratio
Blanc Company
Noir Company

eTextbook and Media

Compute the break-even point in dollars for each company. (Round answers to 0 decimal places, e.g. 5,125.)

		Break-even Point
Blanc Company		$
Noir Company		$

eTextbook and Media

Compute margin of safety ratio for each company. (Round answers to 3 decimal places, e.g. 0.321.)

		Margin of Safety Ratio
Blanc Company
Noir Company

eTextbook and Media

Compute the degree of operating leverage for each company. (Round answers to 2 decimal places, e.g. 1.56.)

		Degree of Operating Leverage
Blanc Company
Noir Company

eTextbook and Media

Assuming that sales revenue increases by 20%, prepare a CVP income statement for each company. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

		Blanc Company		Noir Company
Cost of Goods SoldSalesNet Income/(Loss)Total Variable ExpensesGross ProfitVariable CostsSelling ExpensesContribution MarginTotal Fixed ExpensesAdministrative ExpensesFixed Costs		$		$
Cost of Goods SoldAdministrative ExpensesSalesVariable CostsGross ProfitTotal Variable ExpensesContribution MarginTotal Fixed ExpensesNet Income/(Loss)Fixed CostsSelling Expenses
Total Fixed ExpensesContribution MarginAdministrative ExpensesSalesCost of Goods SoldFixed CostsTotal Variable ExpensesGross ProfitSelling ExpensesVariable CostsNet Income/(Loss)
Variable CostsTotal Fixed ExpensesGross ProfitAdministrative ExpensesCost of Goods SoldSelling ExpensesContribution MarginSalesTotal Variable ExpensesNet Income/(Loss)Fixed Costs
Gross ProfitNet Income/(Loss)Variable CostsCost of Goods SoldTotal Variable ExpensesSalesFixed CostsTotal Fixed ExpensesSelling ExpensesContribution MarginAdministrative Expenses		$		$

eTextbook and Media

Assuming that sales revenue decreases by 20%, prepare a CVP income statement for each company. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

		Blanc Company		Noir Company
Gross ProfitSelling ExpensesCost of Goods SoldVariable CostsTotal Variable ExpensesAdministrative ExpensesNet Income/(Loss)Total Fixed ExpensesContribution MarginSalesFixed Costs		$		$
Total Variable ExpensesVariable CostsTotal Fixed ExpensesContribution MarginFixed CostsSalesAdministrative ExpensesNet Income/(Loss)Gross ProfitCost of Goods SoldSelling Expenses
Variable CostsContribution MarginNet Income/(Loss)Gross ProfitCost of Goods SoldSelling ExpensesTotal Variable ExpensesSalesFixed CostsAdministrative ExpensesTotal Fixed Expenses
Total Fixed ExpensesSalesTotal Variable ExpensesCost of Goods SoldSelling ExpensesNet Income/(Loss)Variable CostsFixed CostsContribution MarginAdministrative ExpensesGross Profit
Fixed CostsCost of Goods SoldNet Income/(Loss)Selling ExpensesGross ProfitVariable CostsSalesTotal Variable ExpensesTotal Fixed ExpensesContribution MarginAdministrative Expenses		$		$