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Backus Inc. makes and sells many consumer products. The firm's average contribution margin ratio is 23%. Management is considering adding a new product that will require an additional $12,500 per month of fixed expenses and will have variable expenses of $8 per unit. Required: a. Calculate the selling price that will be required for the new product if it is to have a contribution margin ratio equal to 23%. (Round your answer to 2 decimal places.) b. Calculate the number of units of the new product that would have to be sold if the new product is to increase the firm's monthly operating income by $8,000. (Do not round intermediate calculations.) per unit a. Selling price b. Number of units Calculate the missing amounts for each of the following firms: (Do not round intermediate calculations.) Sales $ 316,000 Variable Costs Fixed Costs Operating Income (Loss) $ 35,970 72,934 465,000 Contribution Margin Ratio 34 % % 26 % 21 % FirmA Firm B Firm C Firm D 118,000 37,600 130,000 58,000 (4,985) D&R Corp. has annual revenues of $264,000, an average contribution margin ratio of 32%, and fixed expenses of $102,800. Required: a. Management is considering adding a new product to the company's product line. The new item will have $8.1 of variable costs per unit. Calculate the selling price that will be required if this product is not to affect the average contribution margin ratio. b. If the new product adds an additional $29,200 to D&R's fixed expenses, how many units of the new product must be sold at the price calculated in part a to break even on the new product? c. If 24,900 units of the new product could be sold at a price of $14.2 per unit, and the company's other business did not change, calculate D&R's total operating income and average contribution margin ratio