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2.) Assume that fixed costs are incurred uniformly throughout the year .Compute the annual break-even sales, and annual profit if 71000 units are sold during

2.) Assume that fixed costs are incurred uniformly throughout the year .Compute the annual break-even sales, and annual profit if 71000 units are sold during the year.3.) Calculate the change in profit if the selling price were reduced by $6.50 each and annual sales were to increase by 6000 units.4.) Determine the change in profit if the company were to increase advertising by $105000 and if this were to increase sales by 6000 units

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Check my work 4 Central Valley Company Comparative Income Statement March April May June Sales in units 5,500 5, 000 6,000 7,000 Sales revenue $ 726, 000 $ 660, 000 $ 792, 000 $ 924, 000 Less: Cost of goods sold 384, 250 356, 400 411, 840 471, 240 References Gross margin $ 341, 750 $ 303, 600 $ 380, 160 $ 452, 760 Less: Operating expenses Shipping expense $ 62,500 $ 55, 000 $ 66,000 $ 68,500 Advertising expense 77, 500 77,500 77,500 77,500 Salaries and commissions 162, 300 140, 500 164, 000 178, 000 Insurance expense 11, 500 11, 500 11, 500 11, 500 Amortization expense 44, 500 44, 500 44, 500 44, 500 Total operating expenses $ 358, 300 $ 329, 000 $ 363, 500 $ 380, 000 Net income $ (16, 550) $ (25, 400) $ 16, 660 $ 72,760 Required: 1. Management is concerned about the losses experienced during the spring and would like to know more about the cost behaviour. Develop a cost equation for each of the costs. (Do not round intermediate calculations. Round "Per Unit" answers to 2 decimal places.) Cost of goods sold S 69,300 + S 57.42 per unit Shipping = 21,250 + 6.75 per unit Salaries & commission S 46,750 18.75 per unit

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