(12 pts) 6. Lakeland Inc. manufactures 1 GB flash drives (jump drives). Price and cost data for a relevant range extending to 200,000 units per month are as follows:

Sales price per unit

(Current monthly sales volume is 130,000 units) $ 20.00

Variables cost per unit:

Direct materials 6.20

Direct labor 7.00

Variable manufacturing overhead 2.00

Variable selling and administrative expenses 1.80

Monthly fixed expenses:

Fixed manufacturing overhead $103,000

Fixed selling and administrative expenses 187,000

Lakelands tax rate is 40 percent.

Requirements:

a) What would the companys operating income be if it sold 160,000 units?

b) What would the companys monthly operating income be if it had sales of $4,000,000?

c) What is the breakeven point in units? In sales dollars?

d) How many units would the company have to sell to earn a monthly net income of $260,100?