| Memofax broduced memory enhancement Software for computers sales have been very erratic with some monthus showing a profit.onal dance mounts some showing loss. The company's contribution format income statement for the most recent month is given below Sales (22500 units) 675,000 Les-Variable expences 472500 Contribution margin Les- fixed expenses. 211500 $ 9000 Net operating closs 202500 9) # Compute the company's CM ratio and its Break-even point in both units and dollars (do not sound intermediate calculations, Round your Break-even point in units answer upto nearest whole number Contribution margin Ratio. Break-even point in units break-even point in dollars! # The sales manager feels that an $26000 1% # The sales manager feels that an $26000 increase in the monthly advertising budget, combined with an intensified an effoort by the sales staff a will result is a $ 160,000 increase in monthly sales. If the sales manager is right , what will be the effect on the company's monthly net operating income or loss? (use the incremental approach in preparing your answer combined with # Refer to the original data. The president is convinced that a 8% reduction in the selling price an increase of $ 75000 in the monthly advertising budget , will double wnit sales. Should the company make these changes ? o yes o No a # Refer to the original data. The advertising agency thinks that a new package would help sales. The new package being proposed would increase packaging cost by $ 0.5 per unit. Assuming no other changes, how many units would have to be sold each month to earn a profit of $ 6300 ? (do not round intermediate calculations, Round your answer upto nearest whole number ) unit sales to attain target profit lunits. Refer to the original data. By automating the company could stash its variable expenses in half However fixed cost would increased by & 81000 ber month Compute the new CM ratio and the new break even point in both units and dollars. (Round Round cm ratio answer to 2 decimal places and Round your break-even point answer to nearest whole number) Contribution margin Ratio % units Breakeven point in units. Breakeven point in dollars. #Assume that the company expects to sells 27000 units next month. Prepare two contribution format income statements one alluming that operations are not automated and one assuming that they are. (Round per unit and percentage to 2 decimal places) Combarative Income statements Not Automated Automated Total Per unit % Total perunt % sales What is the point of indifference between the two options