ABC Company has provided the following information about the company

Question 1 CVP question ABC company has provided the following information about the company Sales = $210000 PRODUCTION Variable cost [manufacturing] = $ 43000 Fixed cost [manufacturing ]= $75000 SELLING & ADMIN Variable cost = $25000 Fixed cost = $32000 Units produced = 1500 Production capacity = 2000 units REQUIRED Hi C E H IC 2 3 45 6 7 8 9 101 11 12 13 14 15 16 REQUIRED 1. Calculate CM per unit; CMR 2. Determine the breakeven point in units and $ 3. Calculate margin of safety in $& %. 4. The sales manager believes that the company could increase sales by 700 units if advertising is increased by $15000. Should the company increase advertising expenses? 5. Determine the sales revenue necessary to generate before tax profit of $48000. 6. Determine sales revenue necessary to generate after-tax profit of $27000 if tax rate is 30% 7. Calculate degree of leverage (DOL) and if sales increases by 20%, what will be the net income of this company. [use original data in the beginning]