Question: 1. CONTRIBUTION MARGIN PER UNIT CONTRIBUTION MARGIN RATIO FIED EPENSES OPERATING INCOME UNITS SOLD VARIABLE EPENSES B. BREAKEVEN SALES SALES IN UNITS FIED COST MARGIN

1. CONTRIBUTION MARGIN PER UNIT CONTRIBUTION MARGIN RATIO FIED EPENSES OPERATING INCOME UNITS SOLD VARIABLE EPENSES B. BREAKEVEN SALES SALES IN UNITS FIED COST MARGIN OF SAFETY IN UNITS SALE PRICE PER UNIT TARGET SALES IN UNITS VARIABLE COST C. CONTRIBUTION MARGIN CONTRIBUTION MARGIN PER UNIT FIED 1.

CONTRIBUTION MARGIN PER UNIT

CONTRIBUTION MARGIN RATIO

FIED EPENSES

OPERATING INCOME

UNITS SOLD

VARIABLE EPENSES

BREAKEVEN SALES SALES IN UNITS

FIED COST

MARGIN OF SAFETY IN UNITS

SALE PRICE PER UNIT

TARGET SALES IN UNITS

VARIABLE COST

CONTRIBUTION MARGIN

CONTRIBUTION MARGIN PER UNIT

FIED COST

OPERATING INCOME

SALES

VARIABLE COST

TARGET SALES IN UNITS

BREAKEVEN SALES IN DOLLARS

FIED COST

SALES PRICE PER UNIT

TARGET SALES IN DOLLARS

VARIABLE COST

1. Determine the number of tubs John must sell per show to break even. 2. Assume John wants to earn a profit of $1,080 per show. a. b. c. Determine the sales volume in units necessary to earn the desired profit. Determine the sales volume in dollars necessary to earn the desired profit. Using the contribution margin format, prepare an income statement (condensed version) to confirm your answers to parts a and b. 3. Determine the margin of safety between the sales volume at the breakeven point and the sales volume required to earn the desired profit. Determine the margin of safety in both sales dollars, units, and as a percentage

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