the problems with a red x beside them

Contribution Margin, Break-Even Units, Break-Even Sales, Margin of Safety, Degree of Operating Leverage Aldovar Company produces a variety of chemicals. One division makes reagents for laboratories. The division's projected income statement for the coming year is: Sales (203,000 units @ $70) $14,210,000 Total variable cost 9,947,000 Contribution margin $4,263,000 Total fixed cost 3,461,850 Operating income $801,150 Required: 1. Compute the contribution margin per unit, and calculate the break-even point in units. Calculate the contribution margin ratio and use it to calculate the break-even sales revenue. (Note: Round contribution margin ratio to four significant digits, and round the break-even sales revenue to the nearest dollar.) Unit contribution margin fsa wv Break-even point in units v Contribution margin ratio x Break-even sales revenue 11,546,630 | x 2. The divisional manager has decided to increase the advertising budget by $260,000. This will increase sales revenues by $1 million. By how much will operating income increase or decrease as a result of this action? Use your answers from part 1 to determine the amount. 3. Suppose sales revenues exceed the estimated amount on the income statement by $1,500,000. Without preparing a new income statement, by how much are profits underestimated? Use your answers from part 1 to determine the amount. {449,700 | x 4. Compute the margin of safety based on the original income statement. Round your answer to the nearest dollar. @ ween nal wv