%E3-26 (similar to) :3Question Help Memory Maker Camera Company is considering introducing a new video camera. Its selling price is projected to be $1,400 per unit. Variable manufacturing costs are estimated to be $420 per unit. Variable selling costs are 5% of sales dollars. The company expects the annual fixed manufacturing costs for the new camera to be $3,549,000. Requirements (a) Compute Memory Maker's contribution margin per unit and contribution margin ratio. (b) Determine the number of units Memory Maker must sell to break even. (c) Memory Maker is considering a design modification that would reduce the variable cost of the camera by $90 per unit. Explain whether this change will cause Memory Maker's breakeven point to increase or decrease, compared to the initial plans. Requirement (a) Compute Memory Maker's contribution margin per unit and contribution margin ratio. Begin by determining the formula and computing the contribution margin per unit. (Round your answer to the nearest dollar.) . Sales revenue per unit $ 1400 Variable cost per unit 490 = Contribution margin per unit $ 910 Now determine the formula and compute the contribution margin ratio. (Round the ratio to two decimal places.) = Contribution margin ratio Choose from any list or enter any number in the input fields and then click Check Answer. 2 remaining parts Clear All Check