Cost$-$Volume$-$Profit with Multiple Products, Sales Mix Changes, Changes in Fixed and Variable Costs

shops are all competing for the same business.

Common fixed costs $($fixed costs not traceable to either cabinet$)$ are $$35,000.$ Currently, for every three Grade I cabinets sold, seven Grade II cabinets are sold.

Required:

Note: Round your answers to the nearest whole number.

Calculate the number of Grade I and Grade II cabinets that are expected to be sold during the current year.

Grade I

$$ units

Grade II

$$ units

Calculate the number of Grade I and Grade II cabinets that must be sold for Artistic to break even.

Grade I

$$ units

Grade II

$$ units

increase by $$44,000.$

Compute the effect on operating income.