### [solution] » Thanks for all the help. Heres another question they had me Description Answer Download The Question Thanks for all the help. Heres another question they had mePringle Company distributes a single product. The company?s sales and expenses for a recent month follow:   Total    Per Unit   Sales \$ 314,000    \$ 20        Variable expenses   219,800     14          Contribution margin   94,200    \$ 6        Fixed expenses   72,000           Net operating income \$   22,200             Required: 1. What is the monthly break-even point in units sold and in sales dollars?       Break-even point in unit sales  units     Break-even point in sales dollars \$            2. Without resorting to computations, what is the total contribution margin at the break-even point?   Total contribution margin \$    3. How many units would have to be sold each month to earn a target profit of \$33,600? Use the formula method.   Units sold    4. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms. (Round your percentage answer to 2 decimal places.)         Dollars   Percentage      Margin of safety \$     %   5. What is the company?s CM ratio? If monthly sales increase by \$75,000 and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase?       CM ratio  %     Net operating income increases by \$        1 Break even in units Break even in \$ \$ 12,000 240,000 2 Equal to fixed cost \$ 72,000 Total CM 3 17,600 units 4 Margin of safety \$ Margin of safety % \$ 74,000 23.57% 5 CM Ratio Net Operating income...

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Solution #000121941