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P Flag question FlightHouse Inc. distributes a high- quality wooden birdhouse that sells for $40. Variable expenses are $10 per unit, and fixed expenses total 150,000 per year. Its operating results for last year are as follow: Total Per Unit $40 $400,000 100,000 10 Sales Variable expenses Contribution margin Fixed expenses Net Operating Income 30 300,000 150,000 150,000 Question 13 Not yet answered Marked out of 1.00 P Flag question 1a. What is the product's CM ratio? Answer: 50% Not yet answered Marked out of 1.00 P Flag question 1b. Compute the number of units sold. Answer: 40000 Question 15 Not yet answered Marked out of 1.00 P Flag question 1c. Compute break-even point in unit sales Answer: 75000 Question 16 Not yet answered Marked out of 1.00 P Flag question 1d. Compute break-even point in dollar sales n Answer: le. Compute margin of safety in dollar sales. Answer: Question 18 Not yet answered Marked out of 1.00 P Flag question 1f. Compute margin of safety in unit sales. Answer: Question 19 Not yet answered Marked out of 1.00 P Flag question 2. If this year's sales is going to increase by $80,000 and fixed assets do not change, how much will net operating income increase? Question 20 Not yet answered Marked out of 1.00 P Flag question 3a. What is the degree of operating leverage based on last year's sales? Round your answers to 2 decimal places. Answer: Question 21 Not yet answered Marked out of 1.00 Flag question 3b. If this year's sales increase by 15%, using the previous year's degree of operating leverage, what percentage increase in net operating income will the company realize this year? Answer: Question 27 Not yet answered Marked out of 1.00 P Flag question 5f. CM ratio (round to 2 decimal places or whole percentage amount) Answer: Question 28 Not yet answered Marked out of 1.00 P Flag question 5g. Degree of Operating Leverage (round to 2 decimal places) Answer: 5. The sales manager is convinced that a 5% reduction in the selling price, combined with a $30,000 increase in advertising, would increase this year's unit sales by 25%. If this is implemented, what would be this year's ... Question 22 Not yet answered Marked out of 1.00 P Flag question 5a. Total Sales Answer: Question 23 Not yet answered Marked out of 1.00 P Flag question 5b. New Contribution Margin 5c. Fixed expenses Answer: Question 25 Not yet answered Marked out of 1.00 P Flag question 5d. Net Operating Income Answer: Question 26 Not yet answered Marked out of 1.00 P Flag question 5e. Break Even point, unit sales Answer: 6. Based on original data, if sales commission increase by $0.75 per unit, advertising expense increases by 30,000 and unit sales increase by 25%, what is... Question 29 Not yet answered Marked out of 1.00 P Flag question 6a. Total Sales Answer: Question 30 Not yet answered Marked out of 1.00 P Flag question 6b. Total Variable expenses Answer: 6c. New Contribution Margin Answer: Question 32 Not yet answered Marked out of 1.00 P Flag question 6d. Net Operating Income Answer: Question 33 Not yet answered Marked out of 1.00 P Flag question 6e. Break Even point, unit sales Answer: Question 34 Not yet answered Marked out of 1.00 P Flag question 6f. CM ratio (round to 2 decimal places or whole percentage amount) Answer: Question 35 Not yet answered Marked out of 1.00 P Flag question 6g. Degree of Operating Leverage (round to 2 decimal places)