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Sales (10,000 units) S1,500,000 Less: variable expenses 900,000 Contribution margin 600,000 Less: fixed expenses 400,000 Operating...

Sales (10,000 units)
S1,500,000
Less: variable expenses
900,000
Contribution margin
600,000
Less: fixed expenses
400,000
Operating income
$200,000
1-What is the company's contribution margin ratio? *
2-What is the company's break-even in dollar? *
3-If sales increase by 100 units, by how much should operating income increase? *
4-How many units would the company have to sell to attain target operating income of $230,000? *
5-What is the company's margin of safety in dollars? *
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