Sales volume in units 100 Revenue $8,000 Variable costs $5,000 Contribution margin $3,000 Fixed costs $1,800 Profit $1,200 age Camera Temple MIS a) Compute the following items: price unit VC= unit CM b) Write down the CVP relation. Profit= volume- (e.g., if Profit 4 volume-1000, enter 4 in the first box and 1000 in the second box), c) Predict profit at sales volume of 120 units: d) Your boss gave you a profit target of $2,100. How many units do you need to sell to meet this target? e) Compute the breakeven point: breakeven volume breakeven revenue= f) Compute the margin of safety at current sales volume of 100 units: (e.g., if your answer is 20%, enter 20 without the % sign) If sales decrease by 35%, will you lose money? OYES ONO If sales decrease by 45%, will you lose money? OYES ONO g) When sales volume increases by 10 units (from any initial level in the relevant range), profit increases by: not enough information O unit CM 10 - $3001 O unit VC 10 - $500 O price 10 $800