Assume actual sales is $77,000$ units and the actual production in units, actual selling price, actual variable manufacturing cost per unit, and actual fixed costs all equal their respective budgeted amounts. Given these assumptions:

a$.$ Compute net operating income using the traditional income statement format.

b$.$ Compute net operating income using the new income statement format.

What effect does the new capacity$-$based approach have on the volatility of net operating income?

Assume that actual sales is $77,000$ units and the actual selling price, actual variable manufacturing cost per unit, and actual fixed costs all equal their respective budgeted amounts. Under the traditional approach, how many units would have to be produced to realize net operating income of $$209,000?$

Assume that actual sales is $77,000$ units and the actual selling price, actual variable manufacturing cost per unit, and actual fixed costs all equal their respective budgeted amounts. Under the new capacitybased approach, how many units would have to be produced to realize net operating income of $$209,000?$

Will the "hat trick" be easier or harder to perform if the new capacity$-$based method is used?