Problem - The following monthly budgeted data are available for the International Company:
|
|
Product C
|
Product J
|
Product R
|
|
Sales
|
$500,000
|
$300,000
|
$900,000
|
|
Variable expenses
|
300,000
|
210,000
|
720,000
|
|
Contribution Margin
|
$200,000
|
$90,000
|
$180,000
|
Budgeted net operating income for the month is $220,000.
Required - Calculate the following. Show your work.
Break-even dollar sales for the month ($)
Margin of safety ($)
Operating leverage