Cun Rugs is holding a 2-week carpet sale at Jack's Club, a local warehouse store. Curt Rugs plans to sell carpets for $600 each. The company will purchase the carpets from a local distributor for $300 each, with the privilege of returning any unsold has offered Curt Rugs two payment alternatives for the use of space Click the icon to view the additional information) Read the menta Requirement 1. Calculate the breakeven point in units for (a) Option 1 and (b) Option 2 Begin by determining the formula to calculate the breakeven point in units Number of units to breakeven Contribution margin per unit Calculate the breakeven point in units for option 1, then option 2. (Round your answers up to the nearest whole number. Enter "fore balances) (Option 11 01 Option 2 Units Requirement 2. At what level of revenues will Cut Rugs eam the same operating income unter either option? a. For what range of unit sales will Curt Plugs prefer option 17 Begin by deaning the formula to calculate the operating income where each option is equal (Aviation FC Fixed coms Swing once, VO Variable costs, Q For what range of unt sales will Curt Rugs prefer option 27 Quantity of und Open 1 Option 2 PC Vo a FC Now sale the wil latents to geners the same operating income under either option. The level of revenues under wither action wing these units equal 676 st on 2. Requirements 1. Calculate the breakeven point in units for (a) option 1 and (b) option 2. - X 2. At what level of revenues will Curt Rugs earn the same operating income under either option? arn the a. For what range of unit sales will Curt Rugs prefer Option 1? b. For what range of unit sales will Curt Rugs prefer Option 2? g incom 3. Calculate the degree of operating leverage at sales of 72 units for the two rental options. 1? b. sts, Q 4. Briefly explain and interpret your answer to requirement 3. x ng income Print Done