16. Alex Ltd manufactures a product which has a selling price of 28 and a variable cost of 12 per unit. The company incurs an annual fixed cost of 560,400. Annual sales demand is 38.000 units. New production methods are under consideration, which would cause a 20% increase in fixed costs but secure a reduction of 2 in the variable cost per unit. The new production methods would result in a superior product and would enable the sales price to be increased by 2 per unit. If Alex Ltd implements the new production methods and wishes to achieve a profit 10% higher than that under the existing method, the number of units to be produced and sold annually would be: Select one: a. 72,484 b. 36,242 C. 33.714 d. 24,161 e. None of the above is correct