1. At alumni meets and events, Animo Inc. sells DLSU souvenirs at a price of 2,500 per unit. The variable cost is 1,750 per unit. Animo's fixed costs are 650,000 per month. Animo is currently selling 1,500 units per month. If Animo wants to increase operating income by 30%, it must sell __________ more units, over and above the current volume.

Round-up to the nearest whole number

2. Sandile Inc recorded sales of 8,000 units at 15 each. The fixed costs amount to 68,000. The operations resulted in a net loss of 12,000.

Sandile's total variable costs amount to ______________.

3. DL Inc's current sales price is 250 per unit and the current variable cost is 170 per unit. Fixed costs are 400,000. If the sales price is increased by 20, and all other costs remain unchanged, the break-even point in units will (increase / decrease ) by ________________ units.

Indicate in your solution sheet if the change is an increase or a decrease.