Ch 7 Starbucks: A local Starbuck's store has annual sales of $750,000, variable expenses of $165,000 and fixed expenses of $500,000. 1. What is their breakeven point in sales dollars? 2. They would like to achieve a profift of $120,000 per year. How much sales do they need in order to achieve this? Refer back to the original data. They would like to do some additional advertising. They believe they can increase sales volume by 20% and they would like a profit of $150,000. How much can they spend on advertising? 3