The manager of dukey’s shoe station estimates operating costs for the year will include $360,000 in fixed costs.
required:
a. find the break-even point in sales dollars with a contribution margin ratio of 40 percent.
b. find the break-even point in sales dollars with a contribution margin ratio of 25 percent.
c. find the sales dollars required to generate a profit of $100,000 for the year assuming a contribution margin ratio of 40 percent.

(a) $900,000

(b) $1,440,000

(c) $1,150,000

Explanation:

a) Break-even point($):

= Fixed cost ÷ Contribution Margin ratio

= $360,000 ÷ 0.40

= $900,000

b)Break-even point($):

= Fixed cost ÷ Contribution Margin ratio

= $360,000 ÷ 0.25

= $1,440,000

C)Target sales ($):

= [Fixed cost + desired profit ] ÷ Contribution Margin ratio

= [$360,000 + $100,000] ÷ 0.40

= $ 1,150,000

b. a single paragraph.

a paragraph is a series of sentences that are organized and make sense, and are all related to a single topic . almost every piece of writing you do that is longer than a few sentences should be organized into paragraphs. this is because paragraphs show a reader where the subdivisions of an essay begin and end, and thus the reader see the organization of the essay into subjects in order to be able to understand its main points.

answer(d) all of the choices are correct;