1. (10 points) Johnson Men's Clothing revenues and cost data for 2022 are as follows: Revenues $ 600,000.00 Cost of Goods Sold $ 300,000.00 Gross Margin $ 300,000.00 Operating Costs: Salaries (fixed) $ 170,000.00 Sales Commission (10% of Sales) $ 60,000.00 Depreciation of Equipment and Fixtures $ 20,000.00 Store Rent ($4,500 per month) $ 54,000.00 Other Operating Costs $ 45,000.00 $ 349,000.00 Operating Income (Loss) $ (49,000.00) Mr. Johnson, the owner of the store, is unhappy with the operating results. An analysis of other operating costs reveals that it includes $30,000 variable costs, which vary with sales volume, and $15,000 (fixed) costs. (Show all your work to receive full credits) (Question 1 continued) a. Compute the contribution margin of Johnson Men's Clothing. Also compute the contribution margin percentage (Hint: Assume all Costs of Goods Sold are variable costs). b. Mr. Johnson estimates that he can increase revenues by 55% by incurring additional advertising costs of $7,500. Calculate the impact of the additional advertising costs on operating income