Flying High sells kites for $35 each. Variable costs are $7 per kite. Fixed costs are $2,100 per month. What is the contribution margin ratio for the kites?

- 28%

-20%

- 80%

- 125 %

Tom's Taxidermy has a monthly target operating income of $28,000. Variable expenses are 75% of sales and monthly fixed expenses are $10,000. What is Tom's operating leverage factor at the target level of operating income?

A.

0.74

B.

1.36

C.

3.8

D.

0.64

Perry Enterprises has a predicted operating income of $120,000. Its total variable expenses are $60,000 and its total fixed expenses are $18,000. The unit contribution margin for the company's sole product is $7. The number of units that Perry Enterprises needs to sell to achieve the predicted operating income would be (Round the final answer up to the nearest unit.) A. 19,715. B. 11,143. C. 28,286. D. 14,571