10. Costs that are constant in total and vary per unit based on the level of activity changes are called costs. 11. If fixed costs are $300,000, the unit selling price is $40, and the unit variable costs are $25, what is the break-even sales (in units)? Show your work. 12. Landon Co. sales are $914,000, variable costs are $498,130, and operating income is $196,000. What is the contribution margin ratio? Show your work. 13. If fixed costs are $1,500,000, the unit selling price is $250, and the unit variable costs are $130, what is the amount of sales (in units) required to realize an operating income of $300,000? Show your work. 14. If sales are $400,000, variable costs are 75% of sales, and operating income is $40,000, what is the operating leverage? Show your work. 15. Fill in the blanks (5). FRIGID MOTORS INC. Income Statement For the Month Ended July 31, 2016 Sales Cost of goods sold (35,000units $190.00) 2 Selling and administrative expenses ($1,150,000+$200,000) Income from operations $8,750,000 6,650,000 $2,100,000 1,350,000 $ 750,000