Magnolia Company's income statement for the most recent year appears below.

Sales (45,000 units)

$1,350,000

Less: variable expenses

750,000

Contribution margin

600,000

Less: fixed expenses

375,000

Net operating income

$225,000

Required:

Calculate the unit contribution margin.

Calculate the the break-even point in dollars.

If the company desires a net operating income of $290,000, how many units must it sell?