why does it say" abc's margin on connectit is 100% of the cost"

CONNECTIT is the name of Company ABC's's primary product. CONNECTIT has a 30% market share in a market that totals 40,000,000 units. CONNECTIT is sold at retail for $1.50. Average retailer margins on the product are 33.3%(=1/3) of the selling price. Variable manufacturing costs for CONNECTIT are 25 cents per unit. Fixed manufacturing costs allocated to the product are $1,300,000. Company ABC provides $600,000 of advertising support for CONNECTIT. An additional $50,000 of the company's total sales force budget is also allocated to this product. The salary of CONNECTIT's product manager is $50,000. The salespeople for CONNECTIT are paid entirely by a commission which amounts to 12 cents per unit. Shipping costs, breakage, and insurance (i.e. together) add another 3 cents to the cost of the product. ABC's margin on CONNECTIT is 100% of the cost. ABC is considering raising retailer margins for CONNECTIT to 40%. This margin increase would be carried out by lowering the price of the product to retailers, while still maintaining the same wholesaler margins as in the past. (N.B. Assume the wholesaler margin in this new situation is the same dollar wise as it was previously.) Questions A) If retailer margins are raised to 40% next year, what must the unit sales of CONNECTIT be for ABC to break even on the product? (50 marks)