E6.5 (LO 1), AP Carey Company had sales in 2019 of $1,560,000 on 60,000 units. Variable costs totaled $900,000, and fixed costs totaled $500,000. A new raw material is available that will decrease the variable costs per unit by 20% (or $3). How- ever, to process the new raw material, fixed operating costs will increase by $100,000. Management feels that one-half of the decline in the variable costs per unit should be passed on to customers in the form of a sales price reduction. The marketing department expects that this sales price reduction will result in a 5% increase in the number of units sold. Instructions Prepare a projected CVP income statement for 2020 (a) assuming the changes have not been made, and (b) assuming that changes are made as described. E6.6 (LO 2), AP Yard Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix and unit contribution margin are as follows. Unit Contribution Sales Mix Margin Lawnmowers Weed-trimmers 20% $30 50% $20 Chainsaws 30% $40 Yard Tools has fixed costs of $4,200,000. Instructions Compute the number of units of each product that Yard Tools must sell in order to break even under this product mix.