HUDSON COMPANY Contribution Margin Income Statement For Year Ended December 31 Sales (10,000 units at $300 each) Variable costs (10,000 units at $240 each) Contribution margin Fixed costs Income $ 3,000,000 2,400,000 600,000 420,000 $ 180,000 Exercise 18-18 (Algo) Evaluating strategies-price increase LO C2 If the company raises its selling price to $320 per unit. 1. Compute Hudson Company's contribution margin per unit. 2. Compute Hudson Company's contribution margin ratio. 3. Compute Hudson Company's break-even point in units. 4. Compute Hudson Company's break-even point in sales dollars. Answer is complete but not entirely correct. 1. Contribution margin per $ 60 unit 2. Contribution margin ratio 20 % 3. Break-even point 7,000 units 4. Break-even sales dollars $2,100,000