(TCO B) Imperial Company’s income statement for the most recent year appears below.
| Sales (45,000 units) | $1,350,000 |
| Less: variable expenses | 750,000 |
| Contribution margin | 600,000 |
| Less: fixed expenses | 375,000 |
| Net operating income | $225,000 |
Required:
a. Calculate the unit contribution margin.
b. Calculate the break-even point in dollars.
c. If the company desires a net operating income of $290,000, how many units must it sell?
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