Exercise 5-10 Compute the Break-Even Point for a Multiproduct Company [LO5-9]

Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below:

	Claimjumper		Makeover		Total
Sales	$	114,000	$	57,000	$	171,000
Variable expenses		35,200		7,550		42,750
Contribution margin	$	78,800	$	49,450		128,250
Fixed expenses						83,025
Net operating income					$	45,225

Required:
1.	Compute the overall contribution margin (CM) ratio for the company.

2.	Compute the overall break-even point for the company in dollar sales. (Do not round intermediate calculations. Round your final answer to the nearest dollar amount.)

3.	Complete the contribution format income statement at break-even point for the company showing the appropriate levels of sales for the two products. (Do not round intermediate calculations. Round your final answers to the nearest dollar amount.)