Prepare a CVP income statement for 2014 based on managements estimates. (Show column for total amounts only.)

Compute the break-even point in (1) units and (2) dollars.

Compute the contribution margin ratio and the margin of safety ratio.

Determine the sales dollars required to earn a net income of $624,000.

Conclusion with the data

repare a CVP income statement, compute the break-even point, contribution margin ratio, the margin of safety ratio, and sales for target n icome. P18-2B All Frute Company bottles and distributes Frute Ade, a fruit drink. The beverage is sold for 50 cents per 16-ounce bottle to retailers, who charge customers 70 cents per bottle. For the year 2014, management estimates the following revenues and costs