Action Cheng.com X C Chapter 19 Homework look x + lakeAssignment/takeAssignmentMain.do?invoker&takeAssignmentSessionlocator Binprogress-false Blackboard Learn WebAdvisor Main 32 CengageSign In Easy Bib eBook Show Me How Calculator Print item Determine the amount of sales (units) that would be necessary under Break Even Sales Under Present and Proposed Conditions Darby Company, operating at full capacity, sold 116,100 units at a price of $123 per unit during the current year. Its income statement for the current year is as follows: Sales $14,280,300 Cost of goods sold 7,052,000 Gross profit $7,228,300 Expenses Selling expenses $3,526,000 Administrative expenses 3,526,000 Total expenses 7,052,000 Income from operations $176,300 The division of costs between fixed and variable is as follows: Variable 70% 75% Fixed 30% 25% Cost of goods sold Selling expenses Administrative expenses 50% 50% Management is considering a plant expansion program that will permit an increase of $1,107,000 in yearly sales. The expansion will increase foxed costs by $110,700, but will not affect the relationship between sales and variable costs. Required: Check My Work Previous Next mework Looks X + n/takeAssignment/takeAssignment Main.do?invoker=&takeAssignmentSessionLocator = Banprogress=false Blackboard Learn WebAdvisor Main... CengageSign In Easy Bb eBook Show Me How Calculator Pri tem 1. Determine the total variable costs and the total fixed costs for the current year. Enter the final answers rounded to the nearest dollar Total variable costs 9,343,900 Total fixed costs 1,760,100 2. Determine (a) the unit variable cost and (b) the unit contribution margin for the current year, Enter the final answers rounded to two decimal places. Unit variable cost 80.48 Unit contribution margin 42.52 3. Compute the break even sales (units) for the current year. Enter the final answers rounded to the nearest whole number units 4. Compute the break-even sales (units) under the proposed program for the following year. Enter the final answers rounded to the nearest whole number units 5. Determine the amount of sales (units) that would be necessary under the proposed program to realize the $176,300 of income from operations that was earned in the current year. Enter the final answers rounded to the nearest whole number units 6. Determine the maximum income from operations possible with the expanded plant. Enter the final answer rounded to the nearest dollar 7. If the proposal is accepted and sales remain at the current level, what will the income or loss from operations be for the following year? Enter the final answer rounded to the nearest dollar 8. Based on the data given, would you recommend accepting the proposal? a. In favor of the proposal because of the reduction in break-even point. Previous Check My Work