*Waterways Continuing Problem-6 (Part 1) The vice-president of sales and marketing, Madison Tremblay, is trying to plan for the coming year in terms of production needs to meet the forecasted sales. The board of directors is very supportive of any initiatives that will lead to increased profits for the company in the upcoming year. Waterways markets a simple water controller and timer that it mass produces. During 2016, the company sold 370,000 units at an average selling price of $8 per unit. The variable expenses were $1,813,000, and the fixed expenses were $385,000. Contribution margin ratio 38.75 % Break-even point in units 124194 units Break-even point in dollars $ 993548 Margin of safety in dollars 1966452 Margin of safety ratio 66.43 % Waterways would have to sell an additional 149323 units Income will increase by $730000 Waterways is considering mass producing one of its special-order screens. This would increase variable costs for all screens by an average of $0.82 per unit. The company also estimates that this change could increase the overall number of screens sold of 10%, and the average sales price would increase of $0.29 per unit. Waterways currently sells 570,420.0000000000 screen units at an average selling price of $28.00. The manufacturing costs are $7,961,674 variable and $2,378,160 fixed. Selling and administrative costs are $3,087,168 variable and $922,140 fixed. If Waterways begins mass producing its special-order screens, how would this affect the company? (Round percentage answers to 2 decimal places, e.g. 25.15% and other answers to o decimal places, e.g. 5,275.) Current New Effect Contribution margin ratio % by Operating income by If the average sales price per screen unit did not increase when the company began mass producing the screen units, what would be the effect on the company? (Round percentage answer to 2 decimal places, e.g. 25.15% and other answers to o decimal places, e.g. 5,275.) Contribution margin ratio will Profit will by