Exercise Express sells exercise equipment. For purposes of a cost-volume-profit analysis, the shop owner has divided sales into two categories of treadmills, as follows:

Treadmill Type		Sales Price		Invoice Cost		Sales Commission
High-quality		$500		$275		$25
Medium-quality		300		135		15

Three-quarters of the shops sales are medium-quality treadmills. The shops annual fixed expenses are $65,000. (In the following requirements, ignore income taxes.) Required: 1. Compute the unit contribution margin for each product type. 2. What is the shops sales mix? 3. Compute the weighted-average unit contribution margin, assuming a constant sales mix. 4. What is the shops break-even sales volume in dollars? Assume a constant sales mix. 5. How many treadmills of each type must be sold to earn a target net income of $48,750? Assume a constant sales mix.