RadCliff Inc manufacturess and sells a single product. Current sales are 12,000 units per year. Data for the current year is reflected below $75 per unit Selling Price per unit Manufacturing Costs Direct Materials $15 per unit $8 per unit $4 per unit $240,000 per year Direct Labor Variable Overhead Fixed Overhead Non-Manufacturing Costs Variable Selling and Administrative Fixed Selling and Administrative $3 per unit $215,000 per year REQUIRED REQUIRED: Number of Units that RadCliff must sell annually to break-even Dollar margin of safety The company is considering implementing the following simultaneous changes: (a). Reduce the selling price per unit to $72.00 (b). Increase advertising budget which will increase the fixed selling expenses by $20,000 per year (c). Use a new supplier of direct materials. Direct material costs will decrease by 20 % If these changes are implemented, management believes that units sold will increase from 12,000 units to 15,000 units per year REQUIRED: (i) Compute the new break-even point in units () Compute the new dollar margin of safety (ii) Compute the change in net operating income