5. Thad Morgan, a motorcycle enthuslast, has been exploring the possibility of relaunching the Western Hombre brand of cycle that was popular in the 1930 s. The retro-look cycle would be sold for $13,000 and at that price, Thad estimates 400 units would be soid. each year. The variable cost to produce and sell the cycles would be $9,100 per unit. The annual fixed cost would be $780.000. a. What is the break-even in unit sales? b. What is the mergin of safety in dollars? c. What is the degree of operating leverage? (Round your onower to 2 decimal pleces.) Thad is worned bbout the selling price. Rumors are circuloting that other retio bronds of cycles may be lifivivet if so, the seiling price Cor the Western Hombte would hove to be reduced to $9.500 to compete effectuvely in that ovent, Thad would aice reduce fard expenses 105593,000 by reducing adveitising expenses, but he stili hopel to seil 400 units peryear, d. What would the net operating insome be in this situotion? (Negetive amount should be indicated by a minws sign.)