Please show formulas and step by step explanation for your answer.

INFO:

For your statement of cost of goods sold, use the following data regarding the actual costs incurred by the business over the past month:

Materials purchased: $20,000

o Consumed 80% of the purchased materials

Direct labor: $8,493.33

Overhead costs: $3,765

Note: Assume that the beginning materials and ending work in process are zero for the month.

Use the following revenue and cost information for the income statement. Note that the revenue you use will depend on the pricing level options you chose in Milestone Two.

Milestone Two - Break-Even Analysis COLLARS LEASHES HARNESSES Sales Price S 28.00 S 30.00 S 35.00 Fixed Costs S 4,028.33 S 4,028.33 S 4,201.67 Contribution Margin S 18.90 S 17.90 S 20.40 Break-Even Units (round up) 214 226 206 Target Profit S 300.00 S 400.00 S 500.00 Break-Even Units (round up) 230 248 231 Target Profit S 500.00 S 600.00 S 650.00 Break-Even Units (round up) 240 259 238Milestone Two - Contribution Margin Analysis COLLARS LEASHES HARNESSES Sales Price per Unit S 28.00 S 30.00 S 35.00 Variable Cost per Unit 9.10 12.10 14.60 Contribution Margin S 18.90 S 17.90 S 20.40