U Mobile O O K/s X 45. 11 468 17:50 Small Set Large Set Contribution margin per unit of limited resource $ . The is the best use of a limited resource. Waterways Continuing Problem 06 a (Part 3) The section of Waterways that produces controllers for the company provided the following information. Sales in units for month of February 4,000 Variable manufacturing cost per unit $9.75 Sales price per unit $42.50 Fixed manufacturing overhead cost (per month for controllers) $81,000 Variable selling and administrative expenses per unit $3.00 Fixed selling and administrative expenses (per month for controllers) $13,122 Using this information for the controllers, determine the contribution margin ratio, the degree of operating leverage, the break-even point in dollars, and the margin of safety ratio for Waterways Corporation on this product. Contribution Margin Ratio (Round to 0 decimal places, e.g. 25%.) Degree of Operating Leverage (Round to 2 decimal places, e.g. 5.25.) Break-even Point in Dollars Margin of Safety Ratio (Round to 1 decimal place, e.g. 5.2%.) Waterways Continuing Problem 06 b (Part 3 Essay) The section of Waterways that produces controllers for the company provided the following information. Sales for month of February 4,000 Variable manufacturing cost per unit $9.75 Sales price per unit $42.50 Fixed manufacturing overhead cost (per month for controllers) $81,000 Variable selling and administrative expenses per unit $3.00 Fixed selling and administrative expenses (per month for controllers) $13,122 Contribution Margin Ratio 70 % Degree of Operating Leverage 4.78 Break-even Point in Dollars $134,460 Margin of Safety Ratio 20.9 % What does this information suggest if Waterways' cost structure is the same for the company as a whole? O O