(Break-even point and operating leverage) Rockstar, Inc. manufactures a complete line of men's casual shoes for independent merchants. The average selling prices of its finished product is $85 per pair. The variable cost for this same pair of shoes is $44. The firm's incurs fixed cost of $150,000 per year.

A. What is the break-even point in pairs of shoes sold for the company?

B. What is the dollar sales volume the firm must achieve to reach the break-even point?

C. What would be the firm's operating profit or loss (that is, net operating income) at the following units of production sold: 7,000 pairs of shoes? 9,000 pairs of shoes? 15,000 Pairs of shoes?