Marketing and administration.. An Irish firm that specializes in marketing will be engaged to sell the manufactured product and will receive a commission of 10% of the sales price. None of the U.S. home office expense will be allocated to the Irish facility. Percent of Total Anna Expenses That Are Fixed Materials Labor Overhead Total Annual Expenses $19.000 26.000 40,000 14.000 $99,000 104 40 50% Required: 1. If the unit sales price is $2, how many units must be sold to break even? (Hint. First compute the variable cost per unit.) 2. Calculate the margin of safety ratio. 3. Calculate the contribution margin ratio. 12. Effect of taxes on break-even and target volume Royale Aluminum desires an after-tax income of $500,000. It has fixed costs of $2,500,000, a unit sales price of $300, and unit vari- able costs of $150, and is in the 40% tax bracket. Required: income is needed to earn an after-tax