As an avid environmentalist, Dr. Lee decided to help reduce automobile drivers carbon footprint. He assembled a team of engineers who share his passion to work on a solar powered fully functional auto-kit. This kit can be put together by the consumer in 4 hours. It is a two-sitter sports-car-like that accelerates from zero to sixty miles in 8 seconds. The car performed well during its test market phase and Dr. Lee plans to launch in August, selling the car to environmentally conscious dealers at $8,000 per car. From the various data assembled, the estimated maintenance cost to a driver who drives less than 12,000 miles a year is $500.00 (no fuel cost at all!!!!), thus the car is a commuters dream!!!!! Below is additional information on the project. Dr. Lees investment in the project $1,000,000.00 (one million dollars).

Material cost per car	$ 5,000.00
Labor cost per car	$ 1,000.00
Factory Overheard	$ 200,000.00
Distribution (delivery) per car	$ 500.00
Advertising	$ 20,000.00
Manufacturers suggested retail price	$ 10,000.00

Now, Dr. Lee has retained you as a consultant, and wants to meet you next week for advice. Based on pieces of information in your possession, calculate the following:

1. Contribution per unit?

2. Break-even volume?

3. Net profit, if 1,000 units are sold?