Question 20 Takaraingi Manufacturing, maintains the same level of inventory at the end of each year, and provides the newly appointed management accountant with the following information: Fixed expenses Variable expense (per unit sold) Direct materials $3.40 Direct labour $2.80 Factory overhead $125,000 $2.20 Selling expenses: Sales salaries and commissions 56,000 $1.20 Advertising 52,500 Miscellaneous selling expenses 8,000 General expenses Office salaries 54,000 Supplies 18,700 $0.80 Miscellaneous general expenses 22,800 Required: Calculate the following: i) the contribution margin per unit if the selling price per unit is $14.40 ii) the contribution margin ratio iii) the breakeven point in units and sales dollars iv) the units required to achieve a target net income of $125,000 v) the net income based on budgeted unit sales of 135,000 units vi) the safety margin