Question 1.6 (Instruction Sheet Needed) Pumbaa's annual breakeven point in units sold is: O 5,231 units O 3,000 units, O 4,000 units; O 1,000 units * Question 1.7 (Instruction Sheet Needed) Pumbaa's current margin of safety in units is: O 4,000 units O 3,000 units O 5,231 units O 1,000 units k Question 1.8 (Instruction Sheet Needed) Pumbaa's degree of operating leverage is: O 6 03 Use the following to answer questions 6 through 10: Pumbaa Inc. sells a single product. Pumbaa's income statement for the most recent year is presented below. Sales (4,000 units) Less variable expenses Contribution margin Less fixed expenses Operating income $120,000 (68,000 52,000 (39.000) S 13,000 Use the following to ansver questions 11 and 12: Nala Company is a small one-person company that provides elaborate and imaginative wedding cakes to order for very large wedding receptions. The owner of the company would like to understand the cost structure of the company and has compiled the following records of activity and costs incurred. The owner believes that the number of weddings catered is the best measure of activity Weddings Total Costs Month January February 2 March April May June $3,800 $3,600 $4,000 $4,300 $4,500 $5,200 9 12 20