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Xavier Medical Supply is a retailer of home medical equipmene, Last year, Xaviers sales revenues totaled $6,800,000. Total empenses were $2,600,000 Of this amount, approximutely

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Xavier Medical Supply is a retailer of home medical equipmene, Last year, Xaviers sales revenues totaled $6,800,000. Total empenses were $2,600,000 Of this amount, approximutely $1,083,000 were variable, while the remainder were fxed. Since Xaviers offers thousands of siflerent peoducts, its managers prefer to calculate the breakeven point in lerms of sales dolars rafer than unts Read the ceourements Requirement 1. What is Xaver's current operating income? Bogin by identising the formula to compute the operating income. Requirements 1. What is Xavers current operating income? 2. What is Xavier's contribution margin ratio? 3. What is the company breakeven point in sales dolers? (Pint The contribution margin ratio caloviated in Requirement 2 is already wighted by the company's actual sales mix ) 4. Xaviers top management is deciding whether to embark en a $220,000 advertising campoign. The markesng fim has propected arrual swes velume to ncrease by 20% as e resut of this campaign. Aswumirg that the peppectons are corect what ofect wovid tris adverting carreagn have on the sompanys annuk operating income

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