1. Consider the following budget information for a single product firm projecting its first year of operations:

Sales price $ 50 per unit sold

Variable manufacturing costs $ 20 per unit produced

Variable selling and administrative expenses $ 0 per unit sold

Total fixed manufacturing overhead $ 48,000 per year

Total fixed selling and administrative $ 32,000 per year

Units to be produced 8,000 units

How many units does the firm need to sell in its first year of production to have absorption costing operating income be at the breakeven point?