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1. King Flute Philippines, manufacturer and distributor of Flutes has the following information: Selling Price Variable Cost per unit per unit Unit Sales Gold Laquer

1. King Flute Philippines, manufacturer and distributor of Flutes has the following information:

Selling Price Variable Cost
per unit per unit Unit Sales
Gold Laquer Flute 18,912 8,510 60
Silver Flute 12,108 4,843 120
Bamboo Flute 280 168 1,020

If the Fixed Costs amount to 200,000, the break-even point is __________ units.

For uniformity of answers, for interim calculations, use 5 decimal places and round up the final answer to a whole number.

2. Berg Corporation recorded the following information last year: Sales of 550,000; Net operating income of 35,000, and Degree of operating leverage of 5. If sales are expected to be 660,000 next year, assuming no change in cost structure, this means that net operating income for next year should be ___________.

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