a. Digitex, Inc. had sales of 5,000 units in March. A 30% increase is expected in April. The company will maintain 10% of expected units sales for April in ending inventory. Beginning inventory for April was 300 units. How many units should the company produce in April?

b. Tower Appliance has fixed costs of $70,000; its toasters sell for $15 per unit, and the variable cost to produce them is $10. Compute the break-even point in units.