Liwas Company prepared the following contribution format income statement based on a sales volume of 60,000 units for the month of June:

Sales AED 960,000

-Variable expenses (600,000)

Contribution margin 360,000

-Fixed expenses (210,000)

Net income 150,000

Answer the following questions (show all calculations)

1- Calculate the contribution margin per unit?

2- Calculate the contribution margin ratio?

3- Calculate the break-even point (BEP) in units?

4- Calculate the break-even point (BEP) in dirhams?

5- Calculate the sales required in units to achieve a target profit AED 240,000?

6- If sales units increased from 60,000 units to 80,000 units and all the information remain the same, calculate the variable expense ratio?

7-If the selling price increases by AED 3 per unit and the sales volume decreases by 15,000 units, what would be the net income? Do you recommend the company to increase the selling price? Why?

8- If the company decided to pay sales commission for AED 1 per units and stopped paying the sales persons salaries of AED 42,000 and this procedure increases the number of units sold from 60,000 units to 62,000 units, what would be the net income? Do you recommend the company to do this procedure? Why? (Explain your answer)