Use the following information to answer the next several questions:

During the year, Plant Company sold 250,000 units of product. The operating data are as follows:

Net Sales $5,000,000

Variable Costs: Manufacturing $2,600,000 Marketing 400,000

Fixed Costs: Manufacturing $1,400,000 Marketing 300,000 Administrative 100,000

What is net income as a percentage of sales?

a. 4% b. 5% c. 6% d. 11%

What is the margin of safety ratio?

15% 10% 20% 18%

What is the break-even point in units?

225,000 212,000 250,000 200,000

What is the contribution margin ratio?

30% 35% 45% 40%