The income statement for Dexter Company for 20x6 appears below. DEXTER COMPANY Income Statement For the Year Ended December 31, 20x6 HHHHHHHHHHHHMMMM EREEEEEEE************* IN HEHEHEHEHEHEHEHEHEKEA ************** Sales (40,000 units) Variable expenses Contribution margin Fixed expenses Net income (loss)...... KLIMMMMMMLMLEMN NERDERE $1,000,000 700,000 300,000 360,000 $( 60,000) NE ROWWIMMHILLIM REWNIAN NIE Instructions Answer the following independent questions and show computations using the contribution margin technique to support your answers: 1. What was the company's break-even point in sales dollars in 2006? 2. How many additional units would the company have had to sell in 2007 in order to earn net income of $60,000? 3. If the company is able to reduce variable costs by $2.50 per unit in 2007 and other costs and unit revenues remain unchanged, how many units will the company have to sell in order to earn a net income of $50,000