1. Compute the CM ratio and variable expense ratio.

2. Compute the break-even point.

3. Compute the margin of safety.

4. Compute the degree of operating leverage.

**ALL ANSWERS FOR YELLOW BOXES MUST BE ENTERED AS AN EXCEL FORMULA**

CVP Analysis Excel FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Calibri 11 A A Paste B I u EE A Alignment Number Conditional Format as Ce Cells Editing Formatting Table Styles Clipboard R Font Styles B12 1 Given the following information complete a CVP analysis 2 for JPL, Inc.: 4 Unit sales 11,200 units 5 selling price per unit $75 per unit 6 variable expenses per unit $45 per unit 7 Fixed expenses $210,000 9 Use the data to answer the following. 10 11 1. Compute the CM ratio and variable expense ratio 12 Selling price per unit per unit 13 variable expenses per unit per unit 14 Contribution margin per unit per unit 15 16 CM ratio 17 Variable expense ratio 18 19 2. Compute the break-even point 20 Break-even in unit sales units 21 Break-even in dollar sales 22 23 3. Compute the margin of safety 24 Margin of safety in dollars Sheet1. READY Sign In 100%