CVP analysis, margin of safety. Suppose Morrison Corp.s breakeven point is revenues of $1,100,000. Fixed costs are $660,000. Note: in part 2 below, you are also told that its variable costs are $16 per unit.

1. How many units should the company sell to achieve a target income of $3,500.000?

2. How many units should the company sell to earn the target income as part 5 if the contribution margin per unit increases by 10%.