Prepare a contribution margin income statement for


Question - Blanchard Company manufacturing a single product that sells for $136 per unit and whose total variable costs are $102 per unit. The company's annual fixed costs are $496,400.

(1) Prepare a contribution margin income statement for Blanchard Company at the break-even point.

(2) Assume the company's fixed costs increase by $131,000. What amount of sales (in dollars) is needed to break even?

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Accounting Basics: Prepare a contribution margin income statement for
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