Calculating Break Even with Different Cost Structures Digital Imaging Co Imaging Products Co Sales $275,000 $275,000 Variable Costs 151,250 123,750 Contribution Margin 123,750 151,250 Fixed Costs 67,500 95,000 Net Income 56,250 56,250 Calculate the break even sales dollars for each company using the contribution margin ratio Build out a new contribution margin income statement showing break even

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Question: Calculating Break Even with Different Cost Structures Digital Imaging Co Imaging Products Co Sales $275,000 $275,000 Variable Costs 151,250 123,750 Contribution Margin 123,750 151,250 Fixed

Calculating Break Even with Different Cost Structures

	Digital Imaging Co	Imaging Products Co
Sales	$275,000	$275,000
Variable Costs	151,250	123,750
Contribution Margin	123,750	151,250
Fixed Costs	67,500	95,000
Net Income	56,250	56,250

Calculate the break-even sales dollars for each company using the contribution margin ratio. Build out a new contribution margin income statement showing break-even.

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