$6.$ What is the company$$s net operating income $($loss$)$ under absorption costing?

$7.$ What is the amount of the difference between the variable costing and absorption costing net operating incomes $($losses$)?$

$8.$a$.$ What is the company$$s break$-$even point in unit sales?

b$.$ Is it above or below the actual unit sales?

$9.$ If the sales volumes in the East and West regions had been reversed, what would be the company$$s overall break$-$even point in unit sales?

$10.$ What would have been the company$$s variable costing net operating income $($loss$)$ if it had produced and sold $49,000$ units? You do not need to perform any calculations to answer this question.

$11.$ What would have been the company$$s absorption costing net

operating income $($loss$)$ if it had produced and sold $49,000$ units? You

do not need to perform any calculations to answer this question.

$12.$ If the company produces $5,000$ fewer units than it sells in its second year of operations, will absorption costing net operating income be higher or lower than variable costing net operating income in Year $2?$

$13.$ Prepare a contribution format segmented income statement that includes a Total column and columns for the East and West regions.

$14.$ Diego is considering eliminating the West region because an internally generated report suggests the region$$s total gross margin in the first year of operations was $$46,000$ less than its traceable fixed selling and administrative expenses. Diego believes that if it drops the West region, the East region's sales will grow by $5\%$ in Year $2.$ Using the contribution approach for analyzing segment profitability and assuming all else remains constant in Year $2,$ what would be the profit impact of dropping the West region in Year $2?$

$15.$ Assume the West region invests $$44,000$ in a new advertising campaign in Year $2$ that increases its unit sales by $20\%.$ If all else remains constant, what would be the profit impact of pursuing the advertising campaign?