Contribution Margin Harry Company sells 29,000 units at $23 per unit. Variable costs are $17.25 per unit, and fixed costs are $63,400. Determine (a) the contribution margin ratio, (b) the unit contribution margin, and (c) operating income. a. Contribution margin ratio (Enter as a whole number.) \% b. Unit contribution margin (Round to the nearest cent.) \$ per unit c. Operating income $ Break-Even Point Sheridan Inc. sells a product for $96 per unit. The variable cost is $65 per unit, while fixed costs are $103,788. Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $101 per unit. a. Break-even point in sales units units b. Break-even point if the selling price were increased to $101 per unit units Break-Even Sales Under Present and Proposed Conditions Portmann Company, operating at full capacity, sold 1,000,000 units at a price of $186 per unit during the current year. Its income statement is as follows: Ine aivision or costs between variable and tixed is as follows: Management is considering a plant expansion program for the following year that will permit an increase of $9,300,000 in yearly sales. The expansion will increase fixed costs by $4,500,000 but will not affect the relationship between sales and variable costs. Required: 1. Determine the total variable costs and the total fixed costs for the current year. Total variable costs \$ Total fixed costs \$ 2. Determine (a) the unit variable cost and (b) the unit contribution margin for the current year. Unit variable cost Unit contribution margin \$ 3. Compute the break-even sales (units) for the current year. Management is considering a plant expansion program for the following year that will permit an increase of $9,300,000 in yearly sales. The expansion will increase fixed costs by $4,500,000 but will not affect the relationship between sales and variable costs. Required: 1. Determine the total variable costs and the total fixed costs for the current year. Total variable costs \$ Total fixed costs 2. Determine (a) the unit variable cost and (b) the unit contribution margin for the current year. Unit variable cost Unit contribution margin \$ 3. Compute the break-even sales (units) for the current year. units 4. Compute the break-even sales (units) under the proposed program for the following year. units 5. Determine the amount of sales (units) that would be necessary under the proposed program to realize the $61,200,000 of operating income that was earned in the current year. units 6. Determine the maximum operating income possible with the expanded plant. $ 7. If the proposal is accepted and sales remain at the current level, what will the operating income or loss be for the following year