Total variable costs Total fixed costs 88,000,000 39,200,000 2. Determine (a) the unit variable cost and (b) the unit contribution margin for the current year. Unit variable cost 88 Unit contribution margin $ 100 3. Compute the break-even sales (units) for the current year. 392,000 units 4. Compute the break-even sales (units) under the proposed program for the following year. 437,000 units 5. Determine the amount of sales (units) that would be necessary under the proposed program to realize the $60,800,000 of operating income that was earned in the current year. 653,000 X units 6. Determine the maximum operating income possible with the expanded plant. 7. If the proposal is accepted and sales remain at the current level, what will the operating income or loss be for the following year? $