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What is the contribution margin ration

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Reference no: EM132467713

Disney Ltd has prepared the following information from its records:

Sales -                                           $360,000
Direct material -                                $50,400
Direct labour -                                   $32,400
Fixed overhead -                                $63,600
Variable overhead -                             $21,600
Fixed marketing expenses -                   $45,200
Variable marketing expenses -                $28,800
Fixed administrative expenses -               $36,200
Variable administrative expenses -            $18,000

Required:

Question 1: What is the contribution margin ration?

Question 2: What is the break-even point in sales dollars?

Reference no: EM132467713

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