Multiple product companies
Pet Park International sells cat food and dog food.Its monthly fixed costs average $620,000.Cat food sales represent 80% of the company's total revenue.Dog food sales constitute the remaining 20%.The company has provided the following information expressed on a per-case basis:
(a)The total monthly sales revenue required to break-even is $________.(Rounded)
(b)The total monthly sales revenue required to earn an operating income of $135,000 is $________.
(c)The company's margin of safety at a monthly sales level of $2,500,000 is $________.
(d)If monthly fixed costs increase by $10,000,the break-even point,expressed in sales dollars,will increase to $________.
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