The following is Alsatia Corporation's contribution format income statement for last month: RM Sales 1,400,000 Less: Variable expenses (900,000) Contribution margin 500,000 Fixed expenses (300,000) Net operating income 200,000 The company has no beginning or ending inventories and produced and sold 10,000 units during the month.

Required: (a) Calculate the company's contribution margin ratio. (3 marks)

(b) Calculate the company's break-even in units and RM. (4 marks)

(c) If sales increase by 100 units, calculate the increase in net operating income increase. (4 marks)

(d) Calculate the number of units that the company would have to sell to attain target profits of RM225,000. (4 marks)

(e) Calculate the company's margin of safety in units, RM and %. (5 marks)

(f) Explain how cost-volume-profit analysis can assist management in making decision. (5 marks)