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5. The Braggs & Strutting' Company manufactures an engine for carpet cleaners called the Snooper. Budgeted cost and revenue data for the Snooper are given

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5. The Braggs & Strutting' Company manufactures an engine for carpet cleaners called the "Snooper." Budgeted cost and revenue data for the "Snooper" are given below, based on sales of 40,000 units @ selling price of $40 per unit. Sales $ 1,600,000 Less: Cost of goods sold 1,120,000 Gross margin $ 480,000 Less: Operating expenses 100,000 Income $ 380,000 Cost of goods sold consists of $810,000 of variable costs and $310,000 of fixed costs. Operating expenses consist of $30,000 of variable costs and $70,000 of fixed costs. Required: A. Calculate the break-even point in units and sales dollars. B. Calculate the safety margin (in dollars) and ratio. C. How many units must Braggs & Strutting' Company sell to produce a target profit of $570,000? D. How much target profit should be earned by Braggs & Strutting' Company to achieve a target sales volume of $2,400,000

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