Calibri 11 AA = General Paste La BIO- ASE Clipboard Font Alignment B25 A for F B C D E G H J K L M Laska Company bottles and distributes L-Lite, a diet soft drink. The beverage is sold fo $0.00 to retailers, who charge customer: $0.00 per bottle. For year 2019, management estimates the following revenues and costs: Sales Direct Materials Direct Labor MoH - Varialble MOH - Fixed Selling Expense - Variable Selling Expense - Fixed Admin. Expense - Variable Admin. Expense - Fixed Instructions 1. Prepare a CVP Income Statement for 2019 based on Laska's management's estimates 2. Compute the break-even point in (1) units and (2) dollars 3. Compute contribution margin ratio (round to 2 decimals.). 4. Compute margin of safety ratio (round to 2 decimals) 5. Determine sales dollars required to earn Net Income c$o 6. Compute degree of operating leverage and comment on how it will change (increase or decrease) if the company replaces a part of direct labor with machinery. Explain. 1. Your name and ID 2. Solving 3 Formatting 148 JAB C D E F G H I $6.80 Laska Company bottles and distributes L-Lite, a diet soft drink The beverage is sold for $3.40 to retailers, who charge customers per bottle. For year 2019, management estimates the following revenues and costs: Sales $3,400,000 Direct Materials 782,000 Direct Labor 680,000 MoH Varialble 714,000 MoH - Fixed 544,000 Selling Expense - Variable 136,000 Selling Expense - Fixed 102,000 Admin. Expense - Variable 34,000 Admin. Expense - Fixed 102,000 Instructions 1. Prepare a CVP Income Statement for 2019 based on Laska's management's estimates. 2. Compute the break-even point in (1) units and (2) dollars 3. Compute contribution margin ratio (round to 2 decimals.). 4. Compute margin of safety ratio (round to 2 decimals) 5. Determine sales dollars required to earn Net Income of $510,000 6. Compute degree of operating leverage and comment on how it will change (increase or decrease) if the company replaces a part of direct labor with machinery. Explain. COVOU 1 2 mino 1. Your name and ID 2. Solving + MacBook Air