You skipped this question in the previous attempt Selling price per unit Variable expense per unit Number of units sold arally Fantasy $ 20 $ 13 22,000 $ $ Fixed expenses total $506,000 per year. Required: 1. Assuming the sales mix given above, do the following: a. Prepare a contribution format income statement showing both dolor and percent columns for each product and for the company as a whole, b. Compute the company's break-even point in dollar sales. Also, compute its margin of safety in dollars and its margin of safety percentage 2. The company has developed a new product called Samoan Delight that sells for $55 each and that has variable expenses of $44 per unit. If the company can sell 10,000 units of Samoan Delight without incurring any additional foued expenses: a. Prepare a revised contribution format income statement that includes Samoan Delight. Assume that sales of the other two products does not change b. Compute the company's revised break-even point in dollar sales. Also, compute its revised margin of safety in dollars and margin of safety percentage Complete this question by entering your answers in the tabs below. Red IA Reg 16 Reg 2A Reg 20 Assuming the sales mix given in the question Information, do the following: Prepare a contribution format income statement showing both dollar and percent columns for each product and for the company as a whole. Island Novelties, Inc., Contribution Income Statement Hawaiian Fantasy Tahitian Joy Total Amount Amount Amount OS 0 0 OS DELL 100 Selling price per unit Variable expense per unit Number of wits sold amuually 5 20 $ 13 22,00 $ $ 6,660 Fored expenses total $500.000 per year. Required: 1. Assuming the sales mix given above, do the following a. Prepare a contribution format income statement showing both dollar and percent columns for each product and for the companys a whole. b. Compute the company's break-even point in dollar sales. Also, compute its margin of safety in dollars and its margin of safety percentage 2. The company has developed a new product called Samoan Delight that sels for $55 each and that has variable expenses of $44 per unit the company can sell 10,000 units of Samoan Delight without incurring any additional fed expenses: a. Prepare a revised contribution format income statement that includes Samoan Delight. Assume that sales of the other two products does not change b. Compute the company's revised break-even point in dollar sales. Also, compute its revised margin of safety in dollars and margin of safety percentage Complete this question by entering your answers in the tabs below. Reg 1A es Req 2A Reg 20 Assuming the sales mix given in the question Information, do the following: Compute the company's break-even point in dollar sales. Also, compute its margin of safety in dollars and its margin of safety percentage. (Do not round your intermediate calculations. Round your "Margin of safety percentage final answer to 1 decimal place (lue 0.1234 should be entered as 12.3). Round your other final answers to the nearest whole dollar) Break-even point in dollar Margin of safety in dollars Margin of safety percentage DELL C O Required Assuming the sales mis given above, do the following Prepare a corbution format income statement showing both dollar and percent cows for each produced for the company a whole b. Compute the company's break even point in dollar sales Als, compute margin of safety in dous and image of safety percentage 2. The company has developed a new product caled Samoan Delight that is for $55 each and these pes of 544 per unit the company can sell 10.000 units of Samoan Delight without incuring anyone ed expenses Prepare a revised contribution format income statement that includes Samoan Delight. Asume that sales of the two products does not change b. Compute the company's revised break-even point in dollar sales. Also, computereve margins of safety in dollars and magno safety percentage Complete this question by entering your answers in the the below. Req IA Reg 18 Reg 20 The company has developed a new product called Samoan Delight that sells for $55 each and that has variable expenses of per unit. If the company casel 10,00 Samoan Delight without incurring any additional feed expenses Prepare a revised contribution format income statement that includes Samoan Delight. Asume that other two products does not change. (Round your "Percentage answers to 1 de omal place (1 0.1234 should be entered as 12.3).) Island Novelties, Ine. Contribution Income Statement Hamalian Fantasy Tan Jey Amount Amount Samoan Delight Amount Teu Amount 15 $ 0 00$ % 0.0195 o ol 005 o 0 DELL Ol N @ # $ % & 7 (C
