Extreme Sports manufactures and sells 10 different models of adventure gear. Extreme Sports is contemplating a 5% price cut across all 10 models. It expects the price cut to result in a 10% increase in the number of units sold for models XX5001, XX5003, XX5005, and XX5007. The other six models (XX5002, XX5004, XX5006, XX5008, XX5009, and XX5010) are expected to see a 6% increase in sales volume. Assess the impact of the price cut on Extreme Sports’ profits and prepare a balance sheet.

Model	Sales Price	Variable Costs	Sales Volume
XX5001	$95	$45	2,000
XX5002	$105	$50	2,500
XX5003	$115	$55	3,000
XX5004	$125	$60	3,500
XX5005	$135	$65	4,000
XX5006	$145	$70	4,500
XX5007	$155	$75	5,000
XX5008	$165	$80	5,500
XX5009	$175	$85	6,000
XX5010	$185	$90	6,500