Waller, Inc., a glassware manufacturer, provided the following traditional format income statement for the most recent month:

 

Sales	$ 275,000
Cost of goods sold	151,250
Gross profit	$ 123,750
Operating expenses
Selling and administrative expenses (variable)	$ 13,750
Selling and administrative expenses (fixed)	90,000
Net operating income	$ 20,000
Other information:
Selling price per unit	$ 25
Units sold	11,000

Based on the information above, compute Waller's unit contribution margin.

Round answers to nearest cent. Do not include dollar signs or commas.

Based on the information above, compute Waller's contribution margin ratio.

Express your answer in decimal form, rounded to two decimal places (e.g., 25.17% would be entered as 0.25). Do not include dollar signs or commas.

Based on the information above, compute Waller's breakeven sales in units.

Round your amounts to the nearest whole unit. Do not include commas.

Based on the information above, compute Waller's breakeven sales in dollars using the CM ratio approach.

Round your amounts to the nearest whole dollar. Do not include dollar signs or commas.

Based on the information above, compute Waller's margin of safety in dollars.

Round your amounts to the nearest whole dollar. Do not include dollar signs or commas.

Based on the information above, compute Waller's degree of operating leverage.

Round your answers out to two decimal places. Do not include commas.

Refer to the original data. If Waller reduced its selling price by 10% and increased its budgeted adverting by $8,000, calculate the number of units the Company must sell to achieve an operating profit of $50,000.

Round your amounts to the nearest whole unit. Do not include commas.

Refer to the original data. Waller's president is considering eliminating $10,000 of fixed salaries and increasing sales commissions by $2 per unit sold. If this plan is implemented, what would Waller's breakeven point be in dollar sales, using the CM ratio approach?

Do not round intermediate calculations. Round your final answer to the nearest whole dollar. Do not include dollar signs or commas.

Refer to the original data. If Waller increases sales by 5%, what will be the dollar increase in net operating income? (Note: please enter the amount of the increase, not the new amount of net income)

Round your final answer to the nearest whole dollar. Do not include dollar signs or commas.