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VIEW View Helb Search = = General Times New Roman - 11 BIV A A A ? Wrap Text Merge & Center E $ -% 68 Conditional Formatting Font Alignment Number - XVfx Answer: DEFGHI Week Three Financial Exercises Part 2 Complete the following problems using the following ratios: Sales level at which operating income is zero o If sales above breakeven, then profit If sales below breakeven, then loss o Fixed expenses = total contribution margin Total sales = total expenses Break Even Point: Unit Sold = Fixed expenses + Operating Income Contribution Margin per unit Break Even Point: Sales S - Fixed expenses - Operating Income Contribution Margin Ratio (1) Calculate the break even number of units if the fixed expenses are $7.000 and the contribution margin - Answer: C25 A B M N 0 24 (2) Calculate the break even sales dollars if the fixed expenses are $7,000 and the contribution ratio is 40%. Answer: (3) Calculate the break even number of units with a target profit of $120.000 if the fixed expenses are $15,000 and the contribution margin is $60 per unit. Answer: | 32 23 en O ed ex here to search ( *** // // //

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