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Assume that Hawk Inc. manufactures one model of a specialty skateboard. Partial information for it follows: Number of skateboards produced 450 and sold 600 750 Total costs: Variable costs ? ? Fixed costs $67,500 $150,000 $217,500 ? ? Total costs ? ? ? ? ? Cost per unit: Variable cost per unit Fixed cost per unit Total cost per unit ? ? ? ? ? Note: Assume all sales levels given in this problem are within the relevant range. Required: 1. Complete the preceding table. 2. Identify 3 costs that would be classified as fixed costs and 3 as variable costs for Hawk Inc. 3. Suppose Hawk Inc. sells its skateboards for $500 each. Calculate the contribution margin per skateboard and the contribution margin ratio. 4. Assume Hawk Inc. expects to sell 800 skateboards. Using the contribution margin per unit, determine the total contribution margin at 800 skateboards 5. Assume Hawk Inc. expects skateboard sales to reach $400,000. Using the contribution margin ratio, determine the total contribution margin at this sales level. 6. Prepare a contribution margin income statement assuming Hawk Inc sells 800 skateboards as expected 7. Assume Hawk Inc expects to sell 900 skateboards. What would be the increase in NOI over the NOI calculated in Q6 when 800 skateboards are sold? Hint: Do not go through the work of doing an entire new income statement Instead use contribution margin per unit to help you solve this. 8. Assume Hawk Inc expects to sell an additional $100,000 over the sales level in Q6(800 skateboards). What would be the increase in NOI? Again think about what you can use so that you don't have to produce the entire income statement again

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