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:

Required:
1. Briefly describe the similarities and differences between these two companies.
2. Calculate the break-even sales revenue for each company.

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Remo Co Angelo Inc. $275,000 125,000 150,000 110,000 $40,000 Sales revenue Less: Variable costs $275,000 200,000 75,000 35,000 40,000 Contribution margin Less: Fixed costs Net operating income