At Time to apply! activity 2-2 PROBLEM SOLVING. Answer the problem using the CVP analysis. Place your answers and show your solutions on the space provided. Kindly make your solutions neat and legible. If possible, answer first in a scratch paper and rewrite in the module afterwards. PROBLEM #1 Dianne Company makes a product that sells for P240 per unit. Variable costs are P144 per unit and fixed costs total P3,840,000 annually. The company sold 68,000 units during the current year. (adopted from Agamata, 2019) Requirement: Complete the Table, Calculate the Breakeven Points in Pesos and in Units, and discuss your answer in a brief and concise discussion. Units Unit Price Amount Percentage Sales Less: Variable Costs Contribution Margin Less: Fixed Costs Operating Income Breakeven point (pesos) Breakeven point (units) Discussion of answer: MANAGERIAL ACCOUNTING MODULE | 26PROBLEM SOLVING. Answer below problem relating to Degree of Operating Leverage and place your an- swers on the spaces provided. Place your solutions on a separate sheet of paper and attach it to the module. Your essay answers will be assessed using the rubrics found at the end of the module. PROBLEM #1 Upon studying the new product to be launched, Kalilangan Enterprises anticipated to have a selling price of P160 and anticipated variable cost of P100. Expected demand is 8,000 units. A new salesperson must be hired because the company's current sales force is working at capacity. Two com- pensation plans are under consideration: Plan 1: An annual salary of P32,000 plus 10% commission based on gross sales dollars Plan 2: An annual salary of Pl40,000 and no commission 1. What do you mean by the term \"operating leverage"? 2. Compute the operating leverage factor of the two plans at 8,000 units. Which of the two plans is more highly leveraged? Why? Solution: MANAGERIAL ACCOUNTING MODULE | 28