Dugong Ltd. manufactures and sells inflatable boats. The Searchin model sells for $600 per boat. Dugong provides the following planned estimates for the financial year 2022: Per Unit Total Direct materials $180 Direct labour $120 Variable manufacturing overhead $70 Fixed manufacturing overhead $172,040 Variable selling and administrative expenses $65 Fixed selling and administrative expenses $107,800 Required (a) Based on Dugong's plans for 2022, calculate the following 0 (3 marks) Breakeven point in units and in dollars (1) (2 marks) Number of units to sell in order to achieve a projected net income before tax of $140,260 in 2022. The tax rate is 40% (b) (5 marks) The financial statements for the first quarter of the 2022 showed that only 300 units were sold at the expected selling price of $600 per unit. It was clear that the profit projection for 2022 would not be reached unless some action was taken. The company plans to do the following. Buy cheaper direct materials, which will decrease direct materials per unit by $20, and reduce selling price by $30 per unit to achieve sales of 2,400 units for the rest of the year. Should the company go ahead with the plan? Explain with supporting calculations. () (2 marks) When a particular model of inflatable boat is no longer saleable, Dugong is left with an inventory of these boats. Some models have more elaborate features than others. Dugong is thinking of setting up a division that rents out the different models of discontinued boats at different prices. Use any two management accounting concepts taught under the "Decision making" topic and explain how these concepts can be applied to setting up this new division