. CONTRIBUTION MARGIN RATIO. James Manufacturing wants to estimate its breakeven revenue and level of profitability at different ranges of sales revenue. It provides you with the following table: James Manufacturing Revenue $300,000 180,000 120,000 60,000 60,000 Less: Variable Costs Total Contribution Margin Less: Fixed Costs Profit Margin before Tax REQUIRED: a. Calculate the contribution margin ratio. b. What is James Manufacturing's breakeven point in revenue dollars? c. If the company wants to increase its profits to $100,000 before tax, what reve- nue will it need to make? d. The company has been approached by a salesman from a national distributor of office products that says he can reduce James Manufacturing's variable costs by 10% if the company buys a machine that costs $10,000. Should the company buy this machine? Why or why not? Develop a brief business case to explain your conclusions