Requirement $1.$ Compute the contribution margin per package and the contribution margin ratio.

Begin by identifying the formula to compute the contribution margin per package. Then compute the contribution margin per package. $($Enter the amount to the nearest$$ cent.$)$

Sales price per unit

$$

Variable cost per unit

$=$

Contribution margin per unit

Part $2$

The contribution margin per package is

$$0\mathrm{.}80$

$.$

Part $3$

Compute the contribution margin ratio. $($Enter the ratio as a whole$$ percent.$)$

Begin by identifying the formula to compute the contribution margin ratio.

Contribution margin per unit

$$

Sales price per unit

$=$

Contribution margin ratio

Part $4$

The contribution margin ratio is

$50$

$\%.$

Part $5$

Requirement $2.$ Find the breakeven point in units and dollars.

Begin by identifying the formula to compute the breakeven sales in units using the contribution margin approach.

$($

Fixed expenses

$+$

Operating income

$)$

Contribution margin per unit

$=$

Breakeven sales in units

Part $6$

The breakeven point in units is

$100,000$

$.$

Part $7$

Find the breakeven point in dollars using the contribution margin approach.

Begin by identifying the formula to compute the breakeven point in dollars.

$($

$$

$+$

$$

$)$

$$

$=$

Breakeven sales in dollars