b$.$ What is the margin of safety in dollars?

Margin of safety in dollars

c$.$ What is the degree of operating leverage?

Note: Round your answer to $2$ decimal places.

Degree of operating leverage

d$.$ Thad is worried about the selling price. Rumors are circulating that other retro brands of cycles may be revived. If so$,$ the selling

price for the Western Hombre would have to be reduced to $$10,700$ to compete effectively. In that event, Thad also would reduce fixed

expenses to $$311,500$ by reducing advertising expenses, but he still hopes to sell $100$ units per year.

What would the net operating income be in this situation?

Note: Negative amount should be indicated by a minus sign.