The following monthly budgeted data are available for the Stark Company:

Product A Product B Product C

Sales $500,000 $300,000 $900,000

Variable expenses 300,000 210,000 720,000

Contribution margin $200,000 $90,000 $180,000

Budgeted operating income for the month is $220,000.

Required:

a)Calculate the break-even sales for the month.

b)Calculate the margin of safety.

c)Calculate the degree of operating leverage.