Complete this question by entering your answers in the tabs below. Compute (a) last year's CM ratio and the break-even point in balls, and (b) the degree of operati sales level. (Round "Unit sales to break even" to the nearest whole unit and other answers to 2 year). Prepare a contribution format incorne statement and compute the degree of operating leverage. Complete this question by entering your answers in the tabs below. Refer again to the data in (2) above. The president feels that the company must raise the selling price of its basketballs. If Northwood Company wants to maintain the same CM ratio as last year (as computed in requirement 1a ), what selling price per ball must it charge next year to cover the increased labor costs? (Round your answer to 2 decimal places.) Complete this question by entering your answers in the tabs below. Assume the new plant is built and that next year the company manufactures and sells 48,000 balls (the same num last year). Prepare a contribution format income statement and compute the degree of operating leverage. (Round operating leverage" to 2 decimal places.) Complete this question by entering your answers in the tabs below. If the new plant is built, how many balis will have to be sold next year to earn the same net operating income, $161,000, as last year? (Round your answer to the nearest whole unit.) Refer to the original data. The company is discussing the construction of a new, automated manufacturing plant. The new plant would slash variable expenses per ball by 40.00%, but it would cause fixed expenses per year to double. If the new plant is built, what would be the company's new CM ratio and new break-even point in balls? (Round "CM Ratio" to 2 decima) places and "Unit sales to break even" to the nearest whole unit.) Complete this question by entering your answers in the tabs below. Refer to the data in (2) above. If the expected change in variable expenses takes place, how many balls will have to be sold next year to earn the same net operating income, $161,000, as last year? (Round your answer to the nearest whole unit.) Complete this question by entering your answers in the tabs below. Due to an increase in labor rates, the company estimates that next year's variable expenses will increase by $3.00 per ball. If this change takes place and the selling price per ball remains constant at $25.00, what will be next year's CM ratio and the break-even point in balls? (Round "CM Ratio" to 2 decimal places and "Unit sales to break even" to the nearest whole unit.) Northwood Company manufactures bosketballs. The company has a ball that sells for $25, At present, the ball is manufactured in a small plant that relies heavily on direct labor workers. Thus, variable expenses are high, totaling $15.00 per ball, of which 60% is direct. labor cost. Last year, the company sold 48,000 of these balis, with the following results: Required: 1. Compute (o) last year's CM ratio and the break-even point in balls, and (b) the degree of operating leverage at last year's sales level. 2. Due to an increase in labor rates, the company estimates that next year's variable expenses will increase by $3.00 per ball. If this change takes place and the selling price per ball remains constant at $25.00, what will be next year's CM ratio ond the break-even point in balls? 3. Refer to the data in (2) above, If the expected change in varlable expenses takes place, how many balls will have to be sold next yeor to earn the same net operating income, $161,000, as lost year? 4. Refer again to the data in (2) above. The president feels that the company must raise the selling price of its basketballs. If Northwood Company wants to maintain the same CM ratio as last year (as computed in requirement la), what selling price per ball must it charge noxt year to cover the increased labor costs? 5. Refer to the original dota. The compony is discussing the construction of a new, automated manufacturing plant. The new plant would stash variable expenses per boll by 40.00%, but it would cause fixed expenses per yoar to double. If the new plant is built, what would be the company's new CM ratio and new break-even point in balls? 6. Refer to the doto in (5) above. a. If the new plant is bullt, how many bolls whis have to be sold nekt year to eam the same net operating income, $161,000,05 last year? b. Assume the new plant is bult and that next year the company manufactures and sells 48,000 balls (the same number as sold last yean. Prepare a contribution format income statement and compute the degree of operating leverage