Business, 28.07.2021 17:50 allysoftball4878
The following CVP income statements are available for Blanc Company and Noir Company.
Blanc Company Noir Company
Sales $450,000 $450,000
Variable costs 270,000 225,000
Contribution margin 180,000 225,000
Fixed costs 162,000 207,000
Net income $18,000 $18,000
1. Compute the break-even point in dollars for each company.
2. Compute margin of safety ratio for each company.
3. Compute the degree of operating leverage for each company.
Answers: 2
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The following CVP income statements are available for Blanc Company and Noir Company.
Blanc Company...
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