$18 Question 2: Menlo Company distributes a single product. The company's sales and expenses for last month follow: Total Per Unit Sales $450,000 $30 Variable expenses 180,000 12 Contribution margin 270,000 Fixed expenses 216,000 Net operating income $ 54,000 Required: 1. What is the monthly break-even point in units sold and in sales dollars? 2. Without resorting to computations, what is the total contribution margin at the break-even point? 3. How many units would have to be sold each month to earn a target profit of $90,000? Use the formula method. Verify your answer by preparing a contribution format income statement at the target sales level