Sanitiser Company produces a hand sanitiser that sells for $10 each. The per unit hand sanitiser cost includes: Direct materials $4 Direct labour $2 Variable factory overhead $0.30 Variable selling expense $0.20 Total fixed factory overhead cost is $400,000 and fixed selling and administrative expense is $20,000. Sanitiser Company plans to sell 450,000 units of its product in the coming year. Required: 1. What is the contribution margin per unit and contribution margin ratio? 2. Calculate the number of hand sanitisers that must sell to break-even using the contribution margin equation. 3. Calculate the sales revenue that Sanitiser Company must achieve to break-even using the break-even point in sales equation. 4. Prepare a contribution margin income statement for Sanitiser Company based on the break-even point in sales dollars. 5. Suppose that Sanitiser Company reduces the selling price of the hand sanitiser to $8 per unit and expects sales to increase to 500,000 units. What will be the new break- even point in units and operating income? 6. Should Sanitiser Company reduce the selling price of the hand sanitiser to $8? Support your answer with detailed calculations and explanations