variable expense is $$12$ per unit. I he company

Required:

Solve for the company's break$-$even point in unit sales using the equation method.

Solve for the company's break$-$even point in sales dollars using the equation method and CM ratio.

Solve for the company's break$-$even point in unit sales using the formula method.

Solve for the company's break$-$even point in sales dollars using the formula method and CM ratio.

EXERCISE $6-8$ Compute the Margin of Safety $[$LO$7]$

Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data conceming it next month's budget appear below:

Selling price $.......$ $$30$ per unit

Variable expenses $..$ $$20$ per unit

Fixed expenses $....$ $$7,500$ per month

Unit sales $......1,000$ units per month

Required:

Compute the company's margin of safety.

Compute the company's margin of safety as a percentage of its sales.

EXERCISE $6-9$ Compute and Use the Degree of Operating Leverage $[$Le$8]$

Engberg Company installs lawn sod in home yards. The company's most recent monthly contribution format income statement follows:

$\backslash$table$[[,$Amount,Percent of Sales$],[\backslash$table$[[$Sales$.],[$Variable expenses$]],\backslash$table$[[\backslash$table$[[$$$80,000$