a) Compute the company's break-even point in sales dolars. (3 marks) b) Assume that sales increase by $340,000 next year. If cost behaviour patterns remain unchanged, by how much will the company's operating income increase? (2) marks) c) Refer to the original data. Assume that next yeor, manasement wants the company to earn a minimum profit of $950,000. How many units will have to be sold to meet this target profit figure? ( 3 marks) d) Refer to the original data. In an effort to increase sales and profits, management is considering inereasing its adverting spending by $80,000.1t is expected that the increasc advertising will increase unit sales by 5,000 units. What is the overall expected chapge in operating income if these changes are implemented? (3 marks) e) Refer to the original data. In an effort to increase sales and profits, management is considering the use of a higher-quality material. The higher-quality material would allow the company to increase sales price by $3 per unit, it will also increase variable costs by $2 per unit. but management could eliminate one quality inspector who is oaid a salary of $75,000 per year. Unit sales volume would remain unchanged. ssuming that changes are made as described above, prepare a projected calculation foperatiog income for next year. (4 marks) Question 67 ( 15 points) XMAS Company manufactures decorations. The company's contribution-format income statement for the most recant year is given below: Operating income $880,000 Management believes operating income can be further improved and would like you to prepare the following analysis. Renuired: (round all calculations to 4 decimal places)