1. Belle Company manutoctures and sells dresses at a variable cost of 516 esch and a fixed cost of x. It can sel 7,400 dresses at a seling price of $70 to earn an operating income of $219.600 (Option 1) or fi can sell 5,900 dresses at a seling price of $86 and another 3,400 dresses at a seling price of $74 (Option 2). Which atemative should Belle choose? 2. Crew Corpontion manulactures and selis a special kind of ball bearing. Its oost structure depends on the number of bearigs it produces. Its fixed costs and variable manufacturing cost per urit for diflorent ranges of production are described in the following table. (Cick the loon to ve the table.) Crew's sales direchor believer the compary can sel 2,700 units at a seling price of $390; or 4.700 units at a price of $280; or 7,200 units at a price of $230. If iechose to self 7,200 unita, fowever, it would incur additional advertsing costs of $58,000 and varlable selling costs of $10 per snit. Should Crew Corporation plan to produce and sell (a) 2,700 units (b) 4,700 units or (c) 7,200 unts? (a) If Crew sells 2,700 wnis, its operating income wit be (b) It Crow sots 4,700 unhts, its operating income wilf bo (c) If Crew seis 7,200 unts, as operating income will be Crew should plan to produce and sell urb because this level of production and sales 2. Crew Copporation manutuctures and sels a spocial kind of ball bearing its cost shuchure depends ce the eumber de bearings if produces. Its fixed cosis and variable manytacturing cost per unit for diflerent ranges of production are described in the following table. 1. Belle Compacy manulacturns and sefr dessses at a variatit cost of $16 each and a fued cost of x. It can sell 7,400 dresses at a selling price of $70 to earn an operating income of $219.600 or it can sel 5,900 dresses at a seling price of $166 and another 3,400 desesses at a seling price of $74. Which atemative should Dele choose? Crew's sales drector believes the company can sell 2.700 units at a seting price of 1380, of 4,700 uniae at a price of 1260, or 7,200 units at a price of $230, ir the choee is seil 7.200 unls, howevec, would inour addronal adverting cotte of 559.000 and varisbie seling oots of 510 pet unt. Should Crew Corporation plan to produce and sel (a) 2,700 unvts (b) 4,700 unas or (c)7,200 units