1. Calculate the company's break-even point in sales dollars. (Do not round intermediate calculations; round final answer to 0 decimal places, e.g. 1,526.) 2. Determine the sales level in dollars for each division at the break-even point. (Do not round intermediate calculations; round final answer to 0 decimal places, e.g. 1,526.) Crane Electronix sells computer tablets and MP3 players. The business is divided into two divisions along product lines. CVP incomestatements for a recent quarter's activity are presented below.Tablet DivisionMP3 Player DivisionTotalSales$831,600$488,400$1,320,000Variable costs590,436268,620859,056Contribution margin$241,164$219,780460,944Fixed costs141,426Net income$319,518

BREAKEVEN POINTBreak Even means the volume of production or sales where there is no profit or…

Answered: Calculate the company's break-even…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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1. Calculate the company's break-even point in sales dollars. (Do not round intermediate calculations; round final answer to 0 decimal places, e.g. 1,526.) 2. Determine the sales level in dollars for each division at the break-even point. (Do not round intermediate calculations; round final answer to 0 decimal places, e.g. 1,526.)

Crane Electronix sells computer tablets and MP3 players. The business is divided into two divisions along product lines. CVP income
statements for a recent quarter's activity are presented below.
Tablet Division
MP3 Player Division
Total
Sales
$831,600
$488,400
$1,320,000
Variable costs
590,436
268,620
859,056
Contribution margin
$241,164
$219,780
460,944
Fixed costs
141,426
Net income
$319,518

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