Can you fill in the empty cells? for questions 1 + 2

Sales (40,000 units) Variable expenses $1,200,000 840,000 Contribution margin Fixed expenses 360,000 288,000 Operating income $ 72,000 Competition is intense, and Frieden Company's profits vary considerably from one year to the next. Management is exploring opportunities to increase profitability. Required: 1. Frieden's management is considering a major upgrade to the manufacturing equipment, which would result in fixed expenses increasing by $360,000 per month. However, variable expenses would decrease by $9 per unit. Selling price would not change. Prepare two contribution format income statements, one showing current operations and one showing how operations would appear if the upgrade is completed. Show an Amount column, a Per Unit column, and a Percentage column on each statement. Proposed Per Unit $ 30 FRIEDEN COMPANY Contribution Margin Income Statement Present Amount Per Unit % Amount $1,200,000 $ 30 100 840,000 21 70 360,000 $ 9 30 288,000 $ 72,000 $ % 100 12 Sales Variable expenses Contribution margin Fixed expenses Operating income 40 0 $ 18 60 0 2. Refer to the income statements in requirement 1 above. For both current operations and the proposed new operations, compute (a) the degree of operating leverage, (b) the break-even point in dollars, and (c) the margin of safety in both dollar and percentage terms. Present Proposed 5 a. Degree of operating leverage b. Break-even point in dollars C Margin of safety in dollars Margin of safety in percentage $ 960,000 $ 240,000 20:% %