Cost Accounting: Lucido Products markets two computer games: Claimjumper and Makeover. A contributio

Lucido Products markets two computer games: Claimjumper and Makeover. A contribution format income statement for a recent month for the two games appears below:

Claimjumper Makeover Total
Sales $ 102,000 $ 51,000 $ 153,000
Variable expenses 25,480 5,120 30,600
Contribution margin $ 76,520 $ 45,880 122,400
Fixed expenses 92,640
Net operating income $ 29,760
Required:
What is the company's overall contribution margin (CM) ratio?
What is the company's overall break-even point in dollar sales?
Prepare a contribution format income statement at the company's break-even point that shows the appropriate levels of sales for the two products.

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