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Tiger Corp. produces a single product. Data containing that product appears below: |Selling price per unit|$90 |Variable cost per unit|$60 |Contribution margin|$30 Fixed costs are

Tiger Corp. produces a single product. Data containing that product appears below:

|Selling price per unit|$90

|Variable cost per unit|$60

|Contribution margin|$30

Fixed costs are $270,000. The company is currently selling 10,000 units.

Required:

A. Compute the cost volume profit analysis format for the income statement.

B. Compute the break-even for both dollars and units from the above information.

C. Compute the Margin of Safety in S and the Margin of Safety percent.

D. Compute the degree of operating leverage. If sales drop 20% what will be the impact on net income?

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