Tensing Company€™s projected profit for the coming year is as follows:

Required:
1. Compute the break-even point in units.
2. How many units must be sold to earn a profit of $450,000?
3. Compute the contribution margin ratio. Using that ratio, compute the additional profit that Tensing would earn if sales were $37,000 more than expected.
4. For the projected level of sales, compute the margin of safety in units.

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Total Per Unit Sales Total variable cost $2,480,000 1488,000 992,000 626,400 $20 12 58 Contribution margin Total fixed cost Operating incomo5 365.00