Exercise 5-12 (Algo) Multiproduct Break-Even Analysis [LO5-9] Olongapo Sports Corporation distributes two premium golf balls-Flight Dynamic and Sure Shot. Monthly sales and the contribution margin ratios for the two products follow: Sales CM ratio Product Flight Dynamic $ 710,000 62% Sure Shot $ 290,000 77% Fixed expenses total $591,000 per month. Required: 1. Prepare a contribution format income statement for the company as a whole. 2. What is the company's break-even point in dollar sales based on the current sales mix? 3. If sales increase by $45,000 a month, by how much would you expect the monthly net operating income to increase? Total $1,000,000. 2 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a contribution format income statement for the company as a whole. (Round your percentage answers to 2 decimal places (.e. 0.1234 should be entered as 12.34).) Flight Dynamic Amount % Sure Shot Amount $ % Total Company Amount %
Exercise 5-12 (Algo) Multiproduct Break-Even Analysis [LO5-9] Olongapo Sports Corporation distributes two premium golf balls-Flight Dynamic and Sure Shot. Monthly sales and the contribution margin ratios for the two products follow: Sales CM ratio Product Flight Dynamic $ 710,000 62% Sure Shot $ 290,000 77% Fixed expenses total $591,000 per month. Required: 1. Prepare a contribution format income statement for the company as a whole. 2. What is the company's break-even point in dollar sales based on the current sales mix? 3. If sales increase by $45,000 a month, by how much would you expect the monthly net operating income to increase? Total $1,000,000. 2 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a contribution format income statement for the company as a whole. (Round your percentage answers to 2 decimal places (.e. 0.1234 should be entered as 12.34).) Flight Dynamic Amount % Sure Shot Amount $ % Total Company Amount %
Chapter1: Financial Statements And Business Decisions
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![Exercise 5-12 (Algo) Multiproduct Break-Even Analysis [LO5-9]
Olongapo Sports Corporation distributes two premium golf balls-Flight Dynamic and Sure Shot. Monthly sales and the contribution
margin ratios for the two products follow:
Sales
CM ratio
Product
Flight Dynamic
$ 710,000
62%
Sure Shot
$ 290,000
77%
Fixed expenses total $591,000 per month.
Required:
1. Prepare a contribution format income statement for the company as a whole.
2. What is the company's break-even point in dollar sales based on the current sales mix?
3. If sales increase by $45,000 a month, by how much would you expect the monthly net operating income to increase?
Total
$1,000,000.
2
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3
Prepare a contribution format income statement for the company as a whole. (Round your percentage answers to 2 decimal places
(.e. 0.1234 should be entered as 12.34).)
Flight Dynamic
Amount
%
Sure Shot
Amount
$
%
Total Company
Amount
%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0d8370bb-4c6e-4318-b1af-5728fb8814ff%2F5f4a8e34-eb1a-4124-9c6a-3dff6acf903c%2Fwo6rv3q_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Exercise 5-12 (Algo) Multiproduct Break-Even Analysis [LO5-9]
Olongapo Sports Corporation distributes two premium golf balls-Flight Dynamic and Sure Shot. Monthly sales and the contribution
margin ratios for the two products follow:
Sales
CM ratio
Product
Flight Dynamic
$ 710,000
62%
Sure Shot
$ 290,000
77%
Fixed expenses total $591,000 per month.
Required:
1. Prepare a contribution format income statement for the company as a whole.
2. What is the company's break-even point in dollar sales based on the current sales mix?
3. If sales increase by $45,000 a month, by how much would you expect the monthly net operating income to increase?
Total
$1,000,000.
2
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3
Prepare a contribution format income statement for the company as a whole. (Round your percentage answers to 2 decimal places
(.e. 0.1234 should be entered as 12.34).)
Flight Dynamic
Amount
%
Sure Shot
Amount
$
%
Total Company
Amount
%
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