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ULICI Hidysis (L09) Smithen Company, a wholesale distributor, has been operating for only a few months. The company sells three products-sinks, mirrors, and vanities. Budgeted
ULICI Hidysis (L09) Smithen Company, a wholesale distributor, has been operating for only a few months. The company sells three products-sinks, mirrors, and vanities. Budgeted sales by product and in total for the coming month are shown below based on planned unit sales as follows: Percentage Sinks Mirrors Vanities Units 800 400 400 50% 25% 25% Total 1,600 100% Product Sinks 45% $301,032.00 60, 206.40 Percentage of total sales Sales Variable expenses Mirrors 25% $166,500 133,200 Vanities 30% $198,468.00 99,234.00 100% Total 100% $666, 280.00 292,648.40 100% 80% 100% 44% 100% 50% 20% 20% 56% 373,359.58 $ 99,234.00 50% $ 33,300 $249,825.60 80% Contribution margin $ 83.25 248.09 301.03 Contribution margin per unit 338,800.00 $ 34,559.60 Fixed expenses Operating income LAI SU Dmit Break-even point in sales dollars Fixed expenses $338,888 Overall c ratio -= $605,000 0.56 Break-even point in unit sales: Total Fixed expenses $338,800 - = 1,451.90 units Weighted average CM per unit $233.35* *($301.03 x 0.5e) + ($83.25 * 0.25) + ($248.09 9.25) ook sk Assume that actual sales for the month total $760,040 (1.800 units), with the CM ratio and per unit amounts the same as budgeted. Actual fixed expenses are the same as budgeted, $338.800. Actual sales by product are as follows: sinks. $237,063 (630 units): mirrors, $299,700 (720 units): and vanities, $223.277 (450 units). Required: 1. Prepare a contribution format income statement for the month based on actual sales data. (Round your percentage answers to the nearest whole number.) SMITHEN COMPANY Contribution Margin Income Statement Product Mirrors Vanities Total Sinks Percentage of total Operating income (loss) Contribution Margin Income Statement Product Mirrors Vanities Sinks Total Percentage of total Operating income (loss) 2. Compute the break even point in sales dollars for the month, based on the actual data. (Round your intermediate calculations to the nearest whole percent. Round your final answer to the nearest whole dollar) Break-even point in sales dollars 3. Calculate the break-even point in unit sales for the month, based on the actual data (Round your final answer to the nearest whole number.) Break-even point in unit sales
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