Curt Rugs is holding a 2-week carpet sale at Jackie's Club, a local warehouse store Curt Rugs plans to sell carpets for $500 each. The company will purchase the carpets from a local distributor for $350 each with the privilege of returning any unsold units for a full refund Jackie's Club has offered Curt Rugs two payment alternatives for the use of space (Click the icon to view the additional information) Read the requirements . . Option 1: A fixed payment of $5,100 for the sale period Option 2: 10% of total revenues earned during the sale period Assume Curt Rugs will incur no other costs. Requirement 2. At what level of revenues will Curt Rugs earn the same operating income under other option? a. For what range of unit sales will Curt Rugo prefer option 1? b. For what range of unit sales will Curt Rugs prefer option 2? Begin by determining the formula to calculate the operating income where each option is equal (Abbreviation used FC - Fixed costs, SP Selling price ve Variable costs, Q Quantity of units sold.) Option 1 Option 2 SP O) (VCO) - FC = (SP Q) ve Q FC Now calculate the level of revenues units to generate the same operating income under eller option. The level of revenues under either option It will take using these units equal