Apple Inc. Apple Inc., renowned for its innovative products, is evaluating the cost structure of its iPhone division to enhance profitability. As a financial analyst specializing in cost accounting, you are tasked with preparing a contribution margin income statement for Apple's iPhone division. With total sales revenue of $2,500,000 generated from selling 1,000,000 iPhones last quarter, calculate the contribution margin per unit. Interpret the contribution margin ratio and its significance in assessing product profitability. Identify specific cost drivers within the iPhone division and propose actionable strategies to optimize profitability while maintaining product quality and market competitiveness.