Chalmers Corporation operates in multiple areas of the globe, and relatively large price changes are common. Presently, the company sells 188,400 units for $50 per unit. The variable production costs are $20, and fixed costs amount to $2,088,000. Production engineers have advised management that they expect unit labor costs to rise by 10 percent and unit materials costs to rise by 15 percent in the coming year. Of the $20 variable costs, 25 percent are from labor and 50 percent are from materials. Variable overhead costs are expected to increase by 20 percent. Sales prices cannot increase more than 12 percent. It is also expected that fixed costs will rise by 10 percent as a result of increased taxes and