Question: i Data Table Cosmic Donuts Contribution Margin Income Statement Month Ended August 31, 2018 $ 126,000 Net Sales Revenue Variable Costs: $32,400 17,500 500 Cost





i Data Table Cosmic Donuts Contribution Margin Income Statement Month Ended August 31, 2018 $ 126,000 Net Sales Revenue Variable Costs: $32,400 17,500 500 Cost of Goods Sold Selling Costs Administrative Costs 50,400 75,600 Contribution Margin Fixed Costs: 37,800 12,60050,400 Selling Costs Administrative Costs $25,200 Operating Income Print Done variable cost of $1.60 per dozen. A Cosmic sells five dozen plain donuts for every dozen custard-fild donuts. A dozen plain donuts sells for $4.00, with total dozen custard-flled donuts sells for $8.00, with total variable cost of $3.20 per dozen Read the requirements Filled a by preparing Prove your answer Requirement 2. Determine Cosmic's monthly breakeven point in dozens of plain donuts and custard-illed donuts. summary contribution margin income statement at the breakeven level of sales. Show only two categories of costs: variable and fixed. We'l begin with the breakeven point. Start by selecting the formula and entering the amounts to compute the breakeven point in units for the "package of products -total dozens of donuts to be sold. (Complete all answer boxes. Enter a "0" for any zero balances. Enter currency amounts to the nearest cent. Abbreviation used: Weighted-avg. CM weighted-average contribution margin) Required sales in units Determine Cosmic's monthly breakeven point in dozens of plain donuts and custard-filled donuts. The breakeven point is dozen plain donuts anddozen custard filled donuts Prove your answor by proparing a summary contribution margin income statement at the breakeven level of sales. Show only two categories of costs variable and fixed. (Enter a "O for any zero balances.) Cosmic Donuts Contribution Margin Income Statement Filled Plain Total Net Sales Revenue Variable Costs Contribution Margin Fixed Costs Operating Income equirement 3. Compute Cosmic's margin of safety in dollars for August 2018. (The contribution margin income statement provided should be used to etermine any expected results. Margin of safety in dollars tequire ment 4 Compute the degree of operating leverage for Cosmic Donuts. Estimate the new operating income if total sales increase by 10%. Round the degree of operating leverage to four decimal places and the final answer to the nearest dollar. Assume the sales mix remains unchanged.) egin by computing the degree of operating leverage for Cosmic Donuts. (Round the degree of operating leverage to four decimal places, X.XXXx.) Degree of operating leverage str ate the new operating income if total sales increase by 10%. Round interim calculations to ollar. Assume the sales mix remains unchanged.) our decimal places and your final answer to the nearest The estimated operating income will beS Requirement 5 Prove your answer to Requirement 4 by preparing a contribution margin income statement with a 10% increase in total sales. The sales mix remains unchanged.) Cosmic Donuts ment Month Ended August 31, 2018 Net Sales Revenue Contribution Margin Fixed Costs
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