Determine the amount of sales (units) that would be necessary under Break Even Sales Under Present and Proposed Conditions Darby Company, operating at full capacity, sold 83,700 units at a price of $72 per unt during the current year. Its income statement for the current year is as follows: Sales $6,026,400 Cost of goods sold 2,976,000 Gross profit 53.050,400 Expenses Selling expenses $1,458,000 Administrative expenses 1.488,000 Total expenses 2,976,000 Income from operations $74,400 The division of costs between fixed and variable is as follows: Variable Fixed Cost of goods sold 70% 30% Selling expenses 25% Administrative 50 50% expenses Management is considering a plant expansion program that will permit an increase of $504,000 in yearly sales. The expansion will increase foved costs by $50,400, but will not affect the relationship between sales and variable costs 754 Required: 1. Determine the total variable costs and the total fed costs for the current year. Enter the final answers founded to the nearest dotlar Total variable com Total fed costs 2. Determine (a) the unit variable cost and (b) the unit contribution pargin for the current year. Enter the final answers founded to two decimal places Unit variable cost Unit contribution margin 3. Compute the break-even sales (units) for the current year. Enter the final answers rounded to the nearest whole number unts 4. Compute the break even sales (unit) under the proposed program for the following year. Enter the financers rounded to the nearest wole number units 5. Determine the mount of sales tunits) that would be necessary under the proposed program to realize the $74.00 of income from operations that was earned in the current year. Enter the final antwurs rounded to the nearest whole 6. Determine the maximum income from operations pouble win the expanded plant. Enter the final antwerrounded to the nearest olan 7. 17 the proposal a accepted and sales remain at the current level, what will the income or lose from operator be for the following year? Enter the talantwer rounded to the nearest dollar a. Based on the data given, would you recommend accepting the proposal a. In tavor of the proposal because of the reduction in break-even point Infavor of the proposal because of the possibility of creating income from operations in favor of the proposal because of the increase in break-even point. Reject the proposal because if future sales remain at the current level, the income from operations will increme Reject the proposal because the sales necessary to maintain the current income from sperations would be below the current year sales Choose the correct