Exercise 6-10 (Algo) Multiproduct Break-Even Analysis (LO6-9] Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Sales Variable expenses Contribution margin Fixed expenses Net operating income Claimjumper Makeover $ 104,000 $ 52,000 25,960 5,240 $78,040 $ 46,760 Total $ 156,000 31,200 124,800 88,560 $ 36,240 Required: 1. What is the overall contribution margin (CM) ratio for the company? 2. What is the company's overall break-even point in dollar sales? 3. Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Lucido Products
Exercise 6-10 (Algo) Multiproduct Break-Even Analysis (LO6-9] Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below: Sales Variable expenses Contribution margin Fixed expenses Net operating income Claimjumper Makeover $ 104,000 $ 52,000 25,960 5,240 $78,040 $ 46,760 Total $ 156,000 31,200 124,800 88,560 $ 36,240 Required: 1. What is the overall contribution margin (CM) ratio for the company? 2. What is the company's overall break-even point in dollar sales? 3. Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Lucido Products
Chapter1: Financial Statements And Business Decisions
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![Exercise 6-10 (Algo) Multiproduct Break-Even Analysis (LO6-9]
Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent
month for the two games appears below:
Sales
Variable expenses
Contribution margin
Fixed expenses
Net operating income
Claimjumper Makeover
$ 104,000 $ 52,000
25,960 5,240
$ 78,040 $ 46,760
Total
$ 156,000
31,200
124,800
88,560
$ 36,240
Required:
1. What is the overall contribution margin (CM) ratio for the company?
2. What is the company's overall break-even point in dollar sales?
3. Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for
the two products.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3
Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales
for the two products. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.)
Lucido Products](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb3b64eb1-870f-4d30-8e97-740c3909fe35%2F5f224711-c2b8-4a53-9efc-43af2a54a40b%2Fez1aed_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Exercise 6-10 (Algo) Multiproduct Break-Even Analysis (LO6-9]
Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent
month for the two games appears below:
Sales
Variable expenses
Contribution margin
Fixed expenses
Net operating income
Claimjumper Makeover
$ 104,000 $ 52,000
25,960 5,240
$ 78,040 $ 46,760
Total
$ 156,000
31,200
124,800
88,560
$ 36,240
Required:
1. What is the overall contribution margin (CM) ratio for the company?
2. What is the company's overall break-even point in dollar sales?
3. Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for
the two products.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3
Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales
for the two products. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.)
Lucido Products
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Step 1: Introduce to break even point
VIEWStep 2: Working for overall contribution margin ratio and overall break even point in dollars
VIEWStep 3: Working for sales mix
VIEWStep 4: Working for sales revenue and variable cost of both products at break even point
VIEWStep 5: Working for variable cost at break even point
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