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Sunshine Inc. sells a single product. The companys most recent income statement is given below: Sales (4000 units) $ 120,000 Less variable expenses $ (68,000)

Sunshine Inc. sells a single product. The companys most recent income statement is given below:

Sales (4000 units) $ 120,000
Less variable expenses $ (68,000)
Contribution margin $ 52,000
Less fixed expenses $ (40,000)
Net Income $ 12,000

Answer each of the following questions and show all work:

A.) Contribution margin per unit is:

B.) If sales are doubled to $240,000, total variable costs will equal:

C.) If sales are doubled to $240,000, total fixed costs will equal:

D.) If Sunshine is past the breakeven point and 10 more units are sold, profits will increase by:

E.) Calculate how many units must be sold to break even:

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