Determine the amount of sales (units) that would be necessary under Break-Even Sales Under Present and Proposed Conditions Darby Company, operating at capacity, sold 98,550 units at a price of $87 per unit during the current year. Its income statement for the current year is Sales $8,573,850 Cost of goods sold 4.234.000 34 339,850 Expenses: Selling experts $2,117,000 Administrative expenses 2,117,000 Total expenses 4,234,000 Income from operations $105. The division of costs between fixed and Variable Cost of goods sold 70% Selling expenses table is as follows: Fixed 30% 50% 50 expenses Management is considering a plant expansion program that On yearly when we Required: 1. Determine the total variable costs and the total Total variable costs Totale costs Previous Next > we and subme Test for Grading # $ Total variable costs Total fixed costs 2. Determine (a) the unit variable cost and by the unit contribution marge for the current year. Enter the Unt variable cost w ounded to two decimal places Un contribution margin 3. Comote the break-even se t s for the current year. Enter the swers founded to the nearest whole number 4. Compute the break-even sales (unit) under the proposed program for the following year. Enter the final answers rounded to the nearest whole number units 5. Determine the amount of sales (un ) that would be necessary under the proposed program to real the $105, so of come from operations that was earned in the current year. Enter the final answers to the nearest whole number 6. Determine themum income from on e with the the rounded to the nearest do 7. The proposals accepted and the current level what will the income or loss from operations for the following year Enter the final answer rounded to the nearest do I. Based on the data given, would you recommend accepting the propos . In favor of the proposal because of the reaction in break-even point In favor of the proposal because of the power of increasing income from operations Infovor of the proposal because of the increase in break-even point d. Reject the proposal because future sales remain at the current level, the income from operations will increase Reject the pro t ect the necessary to maintain the current income from operations D e come Save and a Sunt Fost for Grading # s % ^ & * a