II. Problems 1. Gilley, Inc. sells a single product. The below company's most recent income statement is given Sales (4,000 units) Less variable costs Contribution margin Less fixed costs Operating income Required: a. Contribution margin per unit is $120,000 52,000 $ 12,000 per unit b. If sales are doubled to $240,000, total variable costs will equal c. If sales are doubled to $240,000, total fixed costs will equal If 10 more units are sold, profits will increase by S Compute how many units must be sold to break even Compute how many units must be sold d. e. f. to achieve profits of $20,000 g. Compute the variable cost ratio h. Compute the contribution margin ratio i. Compute breakeven in sales dollars j. Compute the margin of safety in dollars