Exercise 12-14 Calculate selling price of new product, what-if questions, breakeven LO 8.9. 10, 11 D&R Corp has annual revenues of $280,000, an average contribution margin ratio of 33%, and foed expenses of $112.900 Required: a. Management is considering adding a new product to the company's product line. The new flem will have $8.8 of variable costs per unit. Cakculate the selling price that will be requred if this product is not to affect the average contribution margin ratio (Round your answer to 2 decimal places) per unit b. it the new product adds an additional $31,200 to D&R's fued expenses, how many units of the new product must be sold at the prike cakculated in part a to break- not round intermediate calculations.) even on the new produxt? (oo c. it 18,500 unts of the new product could be sold at a price of $13.9 per unit, and the companys other business did not change, calculate D&R's total operating income and average contribution margin ratio (Round your intermediate calculations to 2 decimal places. Round "Average contribution margin ratio" to 2 decimal places.) Total operating income Average contnibution