just need help with part d

5. Thad Morgan, a motorcycle enthusiast, has been exploring the possibility of relaunching the Western Hombre brand of cycle that was popular in the 1930s. The retro-look cycle would be sold for $18,000 and at that price. Thad estimates 400 units would be sold each year. The variable cost to produce and sell the cycles would be $12,600 per unit. The annual fixed cost would be $1,080,000. a. What is the break-even in unit sales? Answer is complete and correct. Break even in unt sales 200 b. What is the margin of safety in dollars? Answer is complete and correct. Margin of safety in das $2,000,000 c. What is the degree of operating leverage? (Round your answer to 2 decimal places.) Answer is complete and correct. Degree of operating leverage 2.00 Thad is worried about the selling price, Rumors are circulating that other retro brands of cycles may be revived. If so, the selling price for the Western Hombre would have to be reduced to $14,300 to compete effectively. In that event. Thad would also reduce fixed expenses to $929,000 by reducing advertising expenses, but he still hopes to sell 400 units per year. d. What would the net operating Income be in this situation? (Negative amount should be indicated by a minus sign.) Answer is complete but not entirely correct. Net operating inom losa) 4,111,000