Exercise 3.37 Cheyenne manufactures and sells swimsuits for $40.00 each. The estimated income statement for 2017 is as follows: Sales Variable costs Contribution margin Fixed costs $2,000,000 1,050,000 950,000 785,000 $165,000 Pretax earnings Compute the contribution margin per swimsuit and the number of swimsuits that must be sold to break even. (Round contribution margin per swimsuit to 2 decimal places, e.g. 15.25 and break even swimsuits to 0 decimal places, e.g. 125.) Contribution margin $ per swimsuit Break even Swimsuits LINK TO TEXT LINK TO TE What is the margin of safety in the number swimsuits? Margin of safety swimsuits LINK TO TEXT LINK TO TEX Compute the contribution margin ratio and the breakeven point in revenues. (Round contribution margin ratio to 3 decimal places, e.g. 0.256 and breakeven point to 0 decimal places, e.g. 125.) Contribution margin ratio Breakeven point LINK TO TEXT LINK TO TEXT What is the margin of safety in revenues? (Round answer to 0 decimal places, e.g. 125.) Margin of safety LINK TO TEXT LINK TO TEXT Suppose next year's revenue estimate is $160,000 higher. What would be the estimated pretax earnings? Estimated pretax earnings LINK TO TEXT LINK TO TEXT Assume a tax rate of 30%. How many swimsuits must be sold to earn after-tax earnings of $220,000? (Round answer to o decimal places, e.g. 125.) Pretax profit swimsuits LINK TO TEXT LINK TO TEXT