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thanks so much to solve it L. {35 points} Las Terrenas Company manufactures catamarans. Las Tenenas annual xed cost is $10,000,000, and its variable cost

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L. {35 points} Las Terrenas Company manufactures catamarans. Las Tenenas annual xed cost is $10,000,000, and its variable cost per catamaran is 540,000. Las Terrenas current annual sales are 3'50 units at a price of 560,000 per catamaran. [In this question, ignore taxes, unless specifically asked about.) Show your calculations and relevant units. a] What is the contribution margin per unit? b) What is the contribution margin per unit? c] What is total contribution margin? d) What is the current annual prot? e} What is the break-even point in units? f} What is the break-even point in dollars? 5} What is the margin of safety in units? h) What is the margin of safety in dollars? i) Las Terrenas unit sales in the last 4 years were: 350, 900, 400 and 850. Given this information how safe is the margin of safety you computed above? Explain you answer: j) How many units does the company need to sell to attain a target profit of $6,000,000 (ignore taxes)?_ *) Calculate the dollar sales needed to attain a target profit of $6,000,000 (ignore taxes)? 1) Assume income tax rate is 20%, how many units would the company need to sell to produce a net income of $6,800,000? m) Assume income tax rate is 20%, what should be total sales in dollars to produce a net income of $6,800,000? n) What is the operation leverage (ignore taxes)?_ o) Explain the meaning of the operating leverage:p) Explain the difference between the operating leverage and the financial leverage: q) The company is considering enhancing its product quality, which would increase its fixed costs, selling price, and variable costs by 10%. Annual sales are not expected to change as a result of the enhanced quality. Would you advise the company to proceed enhance its product quality? What would be the gain or loss from proceeding with quality enhancement plan (ignore taxes)? r) What should be the impact of the quality enhancement plan suggested in (q) on LAS TERRENAS operating risk? Explain your

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