Break-Even les Under Present and Proposed Condtions Portmann Corpary, operating at full capstity, sold 1,000,000 units at a price of $188 per unit during the eument year. Its incame statement is as foliows: The division of costs between variable and flxed is as follows: between sales and varisble costs. Required 1. Determine the total variable costs and the total fixed costs for the current year: 2. Determine (a) the unt varbele cost and (b) the unit contribusion margin for the current year. 3. Cempute the break-even sales funits) for the current year. x unts Compute the break-even sales (units) under the proposed propram for the folowing rear. 4 units 3. Campute the break-even sales (units) for the current year, x units 4. Comoute the break-aven sales (units) under the proposed program for the following year. units 5. Determine the amount of sales (units) that would be necessary inder the propased program to realize the $59,900,000 of operoting income that was eamed in the currmt year. units 6. Determine the maximum operating income possible with the expanded plant. 7. If the proposal is accepted and soles remain at the current leve, what will the operating income or loss be for the following year? 8. Based on the data given, would you recommend actepting the proposal? a. In favor of the proposal because of the reduction in break-even point. b. In favor of the proposal because of the possiblity of increasing income from operations. c. In faver of the proposal becsuse of the increase in break-even point. d. Reject the proposal because if future sales remain at the current level, the income from operations will increase. c. Reject the propesal because the saies necessary to maintain the current income from operations would be below the current year salies. Chosse the correct