The following is Snow Corporation's contribution format income statement for last month:

Sales	$1,500,000
Less: variable expenses	800,000
Contribution margin	700,000
Less: fixed expenses	300,000
Operating income	$400,000

The company has no beginning or ending inventories and produced and sold 20,000 units during the month. Required:

1. What is the company's contribution margin ratio?
2. What is the company's break-even in units?
3. How many units would the company have to sell to attain target operating income of $125,000?
4. What is the company's margin of safety in dollars?