E7-30A (similar to) Question Help Katie Arkin sells homemade knit scarves for $25 each at local craft shows. Her contribution margin ratio is 60%. Currently, the craft show entrance fees cost Katie $900 per year. The craft shows are raising their entrance fees by 10% next year. How many extra scarves will Katie have to sell next year just to pay for rising entrance fee costs? Begin by identifying the general formula to compute the breakeven sales in units. ( Operating income Katie will have to sell Fixed expenses ) Contribution margin per unit = Breakeven sales in units 660 extra scarves next year just to pay for rising entrance fee costs.