Remo Company and Angelo Inc. are separate companies that operate in the same industry. Following are variable costing income statements for the two companies showing their different cost structures:
|
Remo Co. |
|
Angelo Inc. |
| Sales revenue |
$ |
325,000 |
|
$ |
325,000 |
| Less: Variable cost |
|
200,000 |
|
|
125,000 |
|
|
|
|
|
|
| Contribution margin |
$ |
125,000 |
|
$ |
200,000 |
| Less: Fixed cost |
|
50,000 |
|
|
125,000 |
|
|
|
|
|
|
| Net operating income |
$ |
75,000 |
|
$ |
75,000 |
|
|
|
|
|
|
|
Calculate the break-even sales revenue for each company. (Round your "Contribution Margin Ratio Percentage" to 2 decimal places and final answers to 2 decimal places.
Break-Even Sales Revenue
(Remo Co.):(Angelo Inc.):