Use the following information for the Exercises below. [The following information applies to the questions displayed below.] Hudson Co. reports the contribution margin income statement for 2017. HUDSON Co. Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (11,300 units at $175 each) Variable costs (11,300 units at $140 each) Contribution margin Fixed costs $1,977,500 1,582,000 $ 395,500 315,000 $80,500 Pretax income Exercise 18-19 Evaluating strategies LO C2 If the company raises its selling price to $200 per unit 1. Compute Hudson Co.'s contribution margin per unit. 2. Compute Hudson Co.'s contribution margin ratio. 4. Compute Hudson Co's break-even point in sales dollars. 1. Contribution margin 2. Contribution margin ratio 3. Break-even point 4. Break-even sales dollars per unit units [The following information applies to the questions displayed below.] Hudson Co. reports the contribution margin income statement for 2017 BUDSON co Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (11,300 units at $175 each) Variable costs (11,300 units at $140 each) Contribution margin Fixed costs $1,977,500 1.582,000 s 395,500 315,000 Pretax income $ 80,500 Exercise 18-20 Evaluating strategies LO C2 The marketing manager believes that increasing advertising costs by $74,000 in 2018 will increase the company's sales volume to 12,700 units. Prepare a forecasted contribution margin income statement for 2018 assuming the company incurs the additional advertising costs. HUDSON CO Forecasted Contribution Margin Income Statement For Year Ended December 31, 2018 Sales Variable costs Contribution margin Fixed costs Income (pretax) Should the company incur the additional advertising costs