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Zoke Modical Supply is a retaler of home medical ecuipment, Last yoar, Zeke's sales revenues...

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Accounting

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Zoke Modical Supply is a retaler of home medical ecuipment, Last yoar, Zeke's sales revenues totaled $5,200,000, Total expenses wore $2,500,000.0 of this amount, approximatoly \$1, 512,000 were variable, while the remainder were fixed. Since Zese's offors thousands of different products, its managors profor to calculate the beoakeven point in terms of sales dollars mather than units. Requirements 1. What is Zeke's current operating income? 2. What is Zeke's contribution margin ratio? 3. What is the company's breakeven point in sales dollars? (Hint: The contribution margin ratio calculated in Requirement 2 is already weighted by the company's actual sales mix.) 4. Zeke's top management is deciding whether to embark on a $210,000 advertising campaign. The marketing firm has projected annual sales volume to increase by 16% as a result of this campaign. Assuming that the projections are correct, what effect would this advertising campaign have on the company's annual operating income

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