Andretti Company has a single product called a Dak. The company normally produces and sells 88,000 Daks each year at a selling price of $62 per unit. The company's unit costs at this level of activity are given below: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling expenses Fixed selling expenses Total cost per unit $7.50 12.00 2.60 8.00 ($704,000 total) 3.70 4.00($352,000 total) $37.80 A number of questions relating to the production and sale of Daks follow. Each question is independent