The Mountaineer makes and sells three types of heavy-duty shoes worn by hikers and construction workers in particular.

The budgeted data for the next year are:

Product	G	M	S
Sales volume (pairs of shoes)	4,000	5,000	2,000
Selling price per unit	$3,500	$3,200	$5,000
Direct costs per unit:
Materials	$600	$660	$720
Labour	$1,500	$1,800	$2,100
Variable overheads	$350	$100	$400

Fixed overheads costs are $8,640,000.

Required:

(a) Compute the overall contribution to sales ratio. (7 marks)

Note: round all workings to two decimal places.

(b) Compute the breakeven sales in dollars. (3 marks) Note: round all workings to two decimal places.

(c) Show the allocation of the sales dollars to each product at the breakeven point. (8 marks)

(d) Compute the margin of safety as a % of the budgeted sales revenue overall.(4 marks)

(e) State 3 limitations of CVP analysis. (3 marks)