Whismis Steel Parts produces parts for the automoble industry. The compacy has montily fxed expenses of $610,000 and a contribution margin of 75% of revenises. Wiliarn feois fike he's in a qiant squeeze play. The automotive manufacturers are demanding lower prices, and the steel producers have increased taw material costs. Weliam's contrbution margin has shrunk to 55 Wh of revenues, The company's monthly operaing hoome, prior to these pressures, was $162,500. Read the cowirements Regulrement 1. To maintain this same level of proft, what wales volume (in sales revenue) mus Wiliam now achieve? Begin by lsentbing the formula to compute the soles in units at various levels of oporaling income using the contribution margin approach. f Faed oxpenses + . Contribubon marginta5o = Tarog sales indollats (Round your answer up to the nearest whole dolar) Witien must now achieve sales of to maintain the same invel of protit. Requlrement 2. If monthy syles are 51,090,000 by how much wil he need to out fied costs to maimain this prior proft level of $102,500 per month? Fixed expenses can only be in order to mantan the pror profit ievel of 3162,500 per month Therefore. Watiam waing hove save at ledat per morth in tred cost by moring operations overseas it he plans to maintsin his phior proft tevel. Requirements 1. To mentain twis same tore of profl, what aales volume (h sales rovenue) must Whilan now adieve? 2. Wilam boieves that ha moneNy saks revenue will only go as high as $1,030,000. He io thinking about moving operatons overseas to cut fired costs. If monthly ales are $1,090.000, by how inuch wit he aeed to oul foed conts to maintah hes pior profi lever of 1162.500 per nionth