1.Our company sells its product for $60 per unit and has a variable cost of $30 per unit. Total fixed costs equal $20,000. What would be the breakeven point in units if the sales price per unit decreased by $10?

a.500

b.667

c.1,000

d.1,200

2.Our company sells its product for $100 per unit and has a variable cost of $40 per unit. Total fixed costs equal $18,000. The breakeven in units is 300, and weexpect to sell 350 units. What is the margin of safety in dollars?

a.($5,000)

b.$3,000

c.($3,000)

d.$5,000