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CVP Analysis 1. Determine the break-even point. 2. Compute the margin of safety and explain its significance. 3. Compute the degree of operating leverage at a particular level of sales and explain how it can be used to predict changes in net operating income. CVP Analysis Excel HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VE Sign in B I-A-Alignment Number Conditional Format as Cel Cells Editing Formatting Table Styles Styles Clipboard Font Glven the followinginformation complete a CVP analysis Given thefollowing 2 for JPL, Inc.: information complete a CVE analysi 4 Unit sales s Selling price per unit 6 Varlable expenses per unit 7 Fxed expenses 11,200 units $75 per unit $45 per unit $210,000 9 Use the data to answer the following. 11 1. Compute the CM ratio and variable expense ratio 12 Selling price per unit 13 Variable expenses per unit 4 Contribution margin per unit per unit per unit per unit 16 CM ratio 17 Variable expense ratlo 19 2. Compute the break-even point 20 Break-even in unit sales 21 Break-even in dollar sales units 23 3.Compute the margin of safety 24 Markin of safetv in dollars 1 Sheetl .. Attempts)
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