This is single Question with many parts that follow in sequence

Memofox, Inc produces memory enhancement software for computers Sales have been very erratic, with some months showing a profit and some months showing a loss The company's contribution format income statement for the most recent nionth is given below Sales (18.500 units) Less: Variable expenses Contribution margin Less Fixed expenses Net operating loss $ 740,000 518,000 222,000 231 000 5 (9,000) Required: 1. Compute the companys CM ratio and its break-even point in both units and dollars (Do not round intermediate calculations. Round your "Break even point in units answer up to nearest whole number.) Contribuon margin ratio Break-even point in units Break-even point in dollars 2. The sales manager feels that an $21,000 increase in the monthly advertising budget, combined with an intensified effort by the sales staff will result in a $135,000 increase in monthly sales. Ir the sales manager is right what will be the effect on the company's monthly net operating income or loss? (Use the incremental approach in preparing your answer.) 3. Refer to the orginal data. The president is convinced that a 9% reduction in the selling price, combined with an increase of $75,000 in the monthly advertising budgei, will double unt sales Should the company make these changes? Yes O No 4. Refer to the original data. The company's advertising agency thinks that a new package would help sales. The new package being proposed would increase packaging costs by $05 per unit. Assuming no other changes, how many units would have to be sold each month to earn a profit of $5,800? (Do not round intermediate calculations. Round your answer up to nearest whole number.) Uloopro units 5. Refer to the original dato By automating, the company could slash its variable expenses in hall. However, fixed costs would increase by $83,600 per month a. Compute the new CM ralio and the new break-even point in both units and dollars. (Do not round intermediate calculations. Round your "Contribution margin ratio answer to 2 decimal places. Round your "Break-even point" answers up to nearest whole number.) Contributon margin rato Break-even point in units Break-even point in dollars b. Assume that the company expects to sell 25,000 units next month. Prepare two contribution format income statements one assuming that operations are not automated, and one assuming that they are (Do not round intermediate calculations. Round "Per Unit" and "Percentage to 2 decimal places.) Comparative Income Statements Not Automated Total Per Unit Percentage Automated Per Unit Total Percentage Sales 5 0.00 0.00 5 0.00 0.00 s c. This part of the question is not part of your Connect assignment d. What is the point of Indifference between the two options? (Do not round intermediate calculations. Round your answer up to nearest whole number.) The point of indiference beween the two options units