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Olongapo Sports Corporation distributes two premium golf ballsFlight Dynamic and Sure Shot.
Monthly sales and the contribution margin ratios for the two products follow: Product Total
Flight Dynamic Sure Shot Sales $ 720,000 $ 280,000 $ 1,000,000 CM ratio 63% 79% ? Fixed
expenses total $561,500 per month. Required: 1. Prepare a contribution format income statement
for the company as a whole. 2. What is the company's break-even point in dollar sales based on
the current sales mix?
3. If sales increase by $42,000 a month, by how much would you expect the monthly net
operating income to increase?

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