Klein Company distributes a high-quality bird feeder that sells for $20 per unit. Variable costs are $6 per unit, and fixed costs total $196,000 annually. Required: Answer the following independent questions: 1. What is the product's CM ratio? CM ratio % 2. Use the CM ratio to determine the break-even point in sales dollars. Break-even point in sales dollars
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![Klein Company distributes a high-quality bird feeder that sells for $20 per unit. Variable costs are $6 per unit, and fixed costs total
$196,000 annually.
Required:
Answer the following independent questions:
1. What is the product's CM ratio?
CM ratio
%
2. Use the CM ratio to determine the break-even point in sales dollars.
Break-even point in sales dollars](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F04655fa1-8a14-4287-9748-c095e4183a84%2F29aca7ef-259f-41ca-849e-8371494a57d1%2Fyy74p5e.png&w=3840&q=75)
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