Q.1: NICE Corporation has collected the following information after its first year of sales. Sales were Rs. 1,500,000 on 100,000 units, selling expenses Rs 250,000 (40% variable and 60% fixed); direct material Rs. 511,000; direct labor Rs. 290,000; administrative expenses Rs. 270,000 (20% variable and 80% fixed); manufacturing overhead Rs. 350,000 (70% variable and 30% fixed) top management has asked you to do a CVP analysis so that it can make plans for the coming year, it has projected that unit sales will increase by 10% next year. Instructions: a) Compute (i) the contribution margin for the current year and the projected year, and (ii) the fixed costs for the current year. (Assume that fixed costs will remain the same in the projected year) b) Compute the beak even point in units and sales rupees for the first year. c) The company has a target net income of Rs. 200,000. What the required sales in rupees are for the company to meets its target? d) If the company meets its target net income number, by what percentage could its sales fall before it is operating at a loss? That is what is its margin of safety ratio