4. Blanchard Company manufactures a single product that sells for $190 per unit and whose total variable costs are $152 per unit. The company's annual fixed costs are $562,400. (1) Prepare a contribution margin income statement for Blanchard Company at the break-even point. BLANCHARD COMPANY Contribution Margin Income Statement (at Break-Even) Amount Sales Variable costs Contribution margin Fixed costs Net income (2) Assume the company's fixed costs increase by $133,000. What amount of sales (in dollars) is needed to break even? Choose Numerator: Y Percentage of sales 1 Break-Even Point in Dollars Choose Denominator: = Break-Even Point in Dollars Break-even point in dollars

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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4.
Blanchard Company manufactures a single product that sells for $190 per unit and whose total variable
costs are $152 per unit. The company's annual fixed costs are $562,400.
(1) Prepare a contribution margin income statement for Blanchard Company at the break-even point.
BLANCHARD COMPANY
Contribution Margin Income Statement (at Break-Even)
Sales
Variable costs
Contribution margin
Fixed costs
Net income
Amount
Choose Numerator:
Percentage
of sales
(2) Assume the company's fixed costs increase by $133,000. What amount of sales (in dollars) is needed to
break even?
Break-Even Point in Dollars
1 Choose Denominator:
= Break-Even Point in Dollars
Break-even point in dollars
Transcribed Image Text:4. Blanchard Company manufactures a single product that sells for $190 per unit and whose total variable costs are $152 per unit. The company's annual fixed costs are $562,400. (1) Prepare a contribution margin income statement for Blanchard Company at the break-even point. BLANCHARD COMPANY Contribution Margin Income Statement (at Break-Even) Sales Variable costs Contribution margin Fixed costs Net income Amount Choose Numerator: Percentage of sales (2) Assume the company's fixed costs increase by $133,000. What amount of sales (in dollars) is needed to break even? Break-Even Point in Dollars 1 Choose Denominator: = Break-Even Point in Dollars Break-even point in dollars
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