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7-2A CVP Analysis, "What T?" Analysis Hewins Inc's projected contribution-format income statement for the upcoming year is shown below: Sales (10,000 units) Variable expenses Contribution margin Fixed expenses Net operating income Required: $2,000,000 1 400 ooo 600,000 500 ooo a.) Compute the breakeven point in units. b.) Compute the breakeven point in dollars. c.) Ifthe company wishes to earn a target profit of $300,000, how many units must be sold? d.) Compute the company's margin of safety. State your answer in both dollar and percentage terms. e.) The company's manager thinks that increasing advertising by $150,000 will increase sales by $250,000. If he is correct, what will be the net dollar advantage or disadvantage of making this change? f.) Refer to the original data, the company's manager believes that using a slightly cheaper direct material will decrease variable expenses (per unit) by will reduce units sold by 5%. If he is correct, what will be the net dollar advantage or disadvantage of making this change? g.) Refer to the original data, the company's direct labour workforce received a raise that will increase variable expenses by $10 per unit. The manager wishes to maintain the exact same contribution margin ratio as the original data. What sales price will need to be charged to maintain the same contribution margin ratio?