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300 MON ENCO --- CECH C....... .... Question 2 (6 Marka) Required: LG Company manufactures radios that sell for 45 cach. For the coming year, management expects fixed costs to total 330,000 and variable costs to be 27 per unit. NICHNUN Compute the break even point in sales using the contribution margin (CM) ratio Compute the margin of safety ratio assuming actual sales are 1,200,000. Compute the sales required to earn a net income of 210,000. NEOTER CREAR CHRUACION EXENEXPERIMENTE GHERR ELL TER KE TONERA FREDAKTOR ESCOICIS CONNE FA IDEES JESUI HEEFTER 17 HERCE FREUTER SHOUNE LET CHALLENG COLETNJERCONCE LALI LOHELIN 3PICHILE TRIGLICE HON INVADELAJARE TELE ESILEUS LI 2475830 BERLINICREE ** LINIC 71-68 ARK ENER CALC.-K DOID SIRE DE STEUUNTELL AL CICE MEETICINES CORE PIN BARBEK COALREAFLET BETR LEECE MENNE ****** TALE. NE PRECIS THE ----** PUBENI www. ........ -----...

Question 2 (6 Marks) Required: Requircd: b. Compute the margin of safety ratio assuming actual sales are 1,200,000. b. Compute the sales required to eam a net income of 210,000. LG Company manufactures radios that sell for 645 each. For the coming year. management expects fixed costs to total 6350 , 0o0 and variable costs to be 627 per unit