Royalty Cosmetics manufactures and sells a face cream to small ethnic stores in the greater Barcelona area. It presents the monthly operating income statement shown here to George Tomes, a potential investor in the business. Help Mr Tomes understand Royalty's cost structure. (Click the icon to view the operating income statement.) Requirements 1. Recast the income statement to emphasise contribution margin. 2. Calculate the contribution margin percentage and break even point in units and revenues for June, this year. 3. What is the margin of safety (in units) for June, this year? 4. If sales in June were only 9,000 units and Royalty's tax rate is 35%, calculate its net income.