1. A company sells $20 million of products in the current year. The purchase cost of direct materials is $10 million and the cost of direct labor is $4 million. The company records show that the overhead cost is $2 million. Accordingly, the total profit of the company is $4000000. Now, the company desires to increase its total profit by $1500000. Help this company to achieve its new profit by answering the following questions: (20 points)

1. How much should the firm increase its annual sales?
2. How much should material costs be decreased?
3. How much should the firm reduce labor costs?
4. Can the company achieve the new profit by changing the overload cost?