1. Solve the number of vases and the number of figurines that must be sold for the company to break even. 2. Prima Trading is considering upgrading its factory to improve the quality of its products. The upgrade will add RM5,260 per year to the total fixed cost. If the upgrade is successful, the projected sales of vases will be 1,500, and figurine sales will increase to 1,000 units. Estimate the new break-even point in units for each of the products?

a) Prima Trading produces a line of vases and a line of ceramic figurines. Each line uses the same equipment and labor; hence, there are no traceable fixed costs. Common fixed cost equals RM30,000. Prima's accountant has begun to assess the profitability of the two lines and has gathered the following data for last year: Vases Figurines Price RM40 RM70 30 42 Variable cost Contribution margin Number of units RM10 RM28 1,000 500