A plant has been built at a cost of

$1\mathrm{.}30$ per gallon. $20\%$ return on investment before taxes is expected. Annual fixed expenses are estimated to be

$0\mathrm{.}60$ per gallon. Another class of expenses $($regulated$)$ will run

$720,000$ at zero production and varies linearly with production. i$.$ At what production level will total cost break even with sales? ii$.$ If the

$1\mathrm{.}50$ per gallon? V$.$ What will be the per cent return on investment at the rae found in $"$iv$"$ if the price is held at the recommended $$1\mathrm{.}30$ per gallon level? vi$.$ What will be the "payout period" for operation at full capacity? Solve this problem analytically and graphically.