AGENDA: VARIABLE AND ABSORPTION COSTING
Budgeted net operating income for the month is $130,000. Required: Calculate the break-even sales for the month. Calculate the margin of safety in sales dollars. Calculate the operating leverage for both budgeted and actual data. Actual total sales for the month were the same as the budgeted sales--$1,400,000. However, the sales mix changed so that sales by product were: L, $560,000; Z ... ................
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