1) Two production processes "A, B" have the following cost structure as diagram below: (15 min) 15 marks List of formulas: Profit Revenue - Total cost Revenue Selling price * volume Fixed Cost Process per Year A $100,000 B 80,000 Variable Cost per Unit $3.00 5.00 Break even volume = (Fixed cost)/ (Selling price-variall Total cost Fixed cost + cost per item volume a. Calculate the break-even volumes for both processes. (6 marks) b. How many units per year must be sold with process A to have annual p $50,000 if the selling price is $15 per unit? (5 marks) c. Considering process B, we can increase the fixed cost by 20% and reduc variable cost per unit by 30%. Is this change recommended at the volume units? (4 marks)