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| Sales | Expenses | ||
| High Level Activity | 55,20,000 | 48,57,900 | |
| Low Level Activity | 50,00,000 | 44,30,000 | |
| Dfference | 5,20,000 | 4,27,900 | |
- Determine the break-even point in sales dollars
- What dollar sales volume is required to earn an after-tax of $480,000
- Assuming budgeted 2010 sales of $6,000,000, prepare a 2010 contribution income statement
- Discuss the reliability of the calculations in a,b, and c…including the limitations of the CVP (cost-volume-profit) model and how they affect the reliability of the model.