3. Currently, the unit selling price of a product is $280, the unit variable cost is $230, and the total fixed costs are $600,000. A proposal is being evaluated to increase the unit selling price to $310.

a. Compute the current break-even sales (units).

_______units

b. Compute the anticipated break-even sales (units), assuming that the unit selling price is increased and all costs remain constant.

________units

4. Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $592,800, and the sales mix is 70% bats and 30% gloves. The unit selling price and the unit variable cost for each product are as follows: Products Unit Selling Price Unit Variable Cost Bats $80 $60 Gloves 200 120

a. Compute the break-even sales (units) for the overall enterprise product, E.

_________ units

b. How many units of each product, baseball bats and baseball gloves, would be sold at the break-even point?

Baseball bats

Baseball bats
Baseball gloves