Whitewater Industries sells a plastic one-piece kayak for $850. Unit variable costs are $400, and fixed costs for this product line are $20,000 per month.

a. Construct a break-even chart for the range 0 to 80 kayaks per month. Visit Connect and use the Graph Templates found under the Student Resources for Chapter 5.

b. Reading from your chart, what is the approximate number of kayaks that must be sold per month in order to break even?

c. Reading from your chart, what is the approximate monthly net income or loss if monthly sales are 60 units?