HAPTER 8: OOST-VOLUME-PROFIT RELATIONSHIPS BRIEF EXERCISE 8-2 Computing and Using the CM Ratio (L01 - CC2, 3] Last month, when Holiday Creations, Inc, sold 50.000 units, total sales were $200,000, total variable expenses wen $120,000, and total fixed expenses were $65,000. Required: 1. What is the company's CM ratio? 2. Estimate the change in the company's net income if it were to increase its total sales by $1,100. BRIEF EXERCISE 8-3 Proposing Changes in Variable Costs, Fixed Costs, Selling Price, and Volume [LO2 - CC5) Data for Hermann Corporation are shown below: Per Unit Percentage of Sales