Please assist with questions d, e and f Benoit Manufacturing Company manufactures and sells parts for various musical gadgets. The followinginformation to a single part which is used in the production of a wind instrument. The business earnedOperating Income of $220,000 in 2019, when production was 3,000 units and the president of Darius is underpressure from shareholders to increase operating income in 2020 and is therefore considering theimplementation of strategies mainly geared at increasing revenues and or decreasing variable costs. Data forvariable cost per unit and total fixed costs were as follows:Variable expenses per unit:Direct Material$58Direct Labour$74Variable Manufacturing Overhead $48Fixed expenses:Fixed Manufacturing OverheadFixed Selling CostsFixed Administrative Costs$215,000$65,000$160,000Required:a)Compute the selling price per unit in 2019, using the equation method.b)Given the sales of 3,000 units and the selling price calculated in (a), prepare a contribution marginincome statement for the year ended December 31, 2019, detailing the components of total fixed costsand clearly showing contribution and net income.c)Calculate Benoit's break-even point in units and in sales dollars.d)Calculate the margin of safety in units and in sales dollars.The President of Benoit is under pressure from shareholders to increase operating income by 50% in2020. Management expects per unit data and total fixed costs to remain the same in 2020. Computethe number of units that would have to be sold in 2020 to reach the shareholders desired profit level. Isthis a realistic goal?e)Assume that as a result of reorganizing the production process, the management of BenoitManufacturing was able to reduce direct material cost per unit by $5 due to a change in the supplier ofthe raw material used in the production process. Variable manufacturing overhead per unit would alsodecrease by $3. The business is also considering paying additional annual commission of $36,400 toits sales team as part of the sales expansion effort, which should result in an increase in sales revenue.The head of the marketing department has indicated that the effort of the sales team should result in a5% increase in sales volume. What must the new selling price per unit be if the company wishes tomeet the shareholders desired profit level for 2020? Is this a viable option?f)g)Briefly explain the impact of each of the following scenarios on the break-even point and the margin ofsafety:(i) Increase in sales volume(ii) Increase in total fixed costs(iii) Increase in selling price per unit(iv) Decrease in variable costs per unit

Workings: Total Contribution=Total fixed cost+Operating…

Benoit Manufacturing Company manufactures and sells parts for various musical gadgets. The following information to a single part which is used in the production of a wind instrument. The business earnec Operating Income of $220,000 in 2019, when production was 3,000 units and the president of Darius is under pressure from shareholders to increase operating income in 2020 and is therefore considering the implementation of strategies mainly geared at increasing revenues and or decreasing variable costs. Data for variable cost per unit and total fixed costs were as follows: Variable expenses per unit: Direct Material Direct Labour Variable Manufacturing Overhead $48 Fixed Manufacturing Overhead Fixed Selling Costs Fixed Administrative Costs $58 $74 Fixed expenses: $215,000 $65,000 $160,000 Required: a) Compute the selling price per unit in 2019, using the equation method. b) Given the sales of 3,000 units and the selling price calculated in (a), prepare a contribution margin income statement for the year ended December 31, 2019, detailing the components of total fixed costs and clearly showing contribution and net income. Calculate Benoit's break-even point in units and in sales dollars. c) d) Calculate the margin of safety in units and in sales dollars. e) The President of Benoit is under pressure from shareholders to increase operating income by 50% in the number of units that would have to be sold in 2020 to reach the shareholders desired profit level. Is this a realistic goal? f) Assume that as a result of reorganizing the production process, the management of Benoit Manufacturing was able to reduce direct material cost per unit by $5 due to a change in the supplier of the raw material used in the production process. Variable manufacturing overhead per unit would also decrease by $3. The business is also considering paying additional annual commission of $36,400 to its sales team as part of the sales expansion effort, which should result in an increase in sales revenue The head of the marketing department has indicated that the effort of the sales team should result in a 5% increase in sales volume. What must the new selling price per unit be if the company wishes to meet the shareholders desired profit level for 2020? Is this a viable option?