1. At an activity level of 720,000 units, the total variable expenses are $3,060,000, and the total fixed expenses are $1,500,000. Which of the following is correct if 850,000 units are produced, and this activity level is within the relevant range?*

A- The total expenses are $4,560,000

B-The total variable expenses are $3,060,000

C-The total expenses per unit are $6.33 per unit

D-The variable expenses per unit are $4.25 per unit

E-None of the above

2. The unit sales to break-even are 35,000 units, the unit selling price is $110 per unit, and the contribution margin ratio is 40%. What is the amount of fixed expenses?*

A-$14,000

B-$1,540,000

C-$2,310,000

D-$3,850,000

E-None of the above

The following is the only given.