Contribution margin per unit approach for break-even and desired profit Information concerning a product produced by Morris Company appears here.

Sales price per unit $200 Variable cost per unit $110 Total annual fixed manufacturing and operating costs $630,000 Required Determine the following:

a. Contribution margin per unit.

b. Number of units that Morris must sell to break even.

c. Sales level in units that Morris must reach to earn a profit of $270,000.