A Company in Vaughn manufactures two products and gathered information about the two items as bellow:

	Product MX15	Product LX20
Selling price per unit	$40	$60
Variable cost manufacturing cost per unit	16	22
Variable selling cost per unit	8	12

The company expects annual fixed manufacturing costs to be $109,160 and fixed selling costs to be $50,000. The firm's normal annual total sales are 14,000 units, of those 8,400 have been Product MX15 and the remainder are Product LX20.

Required: [Show your work in details for full credit] (round to 2 decimal places):

1. Determine the break-even point in units for the company's products (i.e., show the number of units for each product: MX15

and LX20).

2. Determine the level of sales (in dollars) necessary to generate an operating income of $75,000.