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Dorcan Corporation manufactures and sells T-shirts imprinted with college names and slogans. Last year, the shirts sold for $750 each and the variable cost to manufacture them was $2.25 per unit. The company needed to sell 21000 shirts to break even. The after tax net income last year was $5,340, Donnelly's expectations for the coming year include the following: (CMA adapted) The sales price of the T-shirts will be $10. Variable cost to manufacture will increase by one third Fixed costs will increase by 10% The income tax rate of 40% will be unchanged. Based on a $10 selling price per unit, the number of T-shirts Dorcan Corporation must sell to break-even in the coming year is Multiple Choice 18.155 units Multiple Choice 18,155 units. 17,655 units. O 21,155 units. Tom 23,155 units. Evergreen Corporation manufactures circuit boards and is in the process of preparing next year's budget. The proforma income statement for the current year is presented below. $3,680,000 $518,000 340,000 284,000 690,000 Sales Cost of sales: Direct material Direct labor Variable overhead Fixed overhead Gross profit Selling and General & Admin. Exp. Variable Fixed Operating income 1,832,880 $1,848,000 768,000 268,000 1,036, eee $ 812,800 The contribution margin ratio for the current year is. The bulion margin ratio for the current year is: Multiple Choice O 52.4%. O 48.1% O 45.2%. 24.0%