(6) (7) Comment on the consequences Discuss the assumptions used by break even analysis Question 4 A company produces a product called KITT. Costs related to KITT behave in following way. No of units Total cost $ 170,000 220,000 295,000 Total sales value $ 240,000 360,000 540,000 4,000 6,000 9,000 Company estimates to sell 5,000 units Required: (1) Break even point (BEP) in units and in value (2) Margin of safety (MOS) in units and in value (3) Profit at expected sales (using Mos) (4) Profit at expected sales using total revenue and total cost (5) Number of units required to earn a target profit of $227,500 (6) Discuss the importance of break even analysis for a new business (7) Basic break even chart (you need to mark the required information on the chart) MANAGING FI