For the coming year, Loudermilk Inc. anticipates fixed costs of $600,000, a unit variable cost of $75, and a unit selling price of $125. The maximum sales within the relevant range are $2,500,000.

a. Determine the maximum possible operating loss. $

b. Compute the maximum possible operating profit. $

c. Construct a profit-volume chart on paper. Indicate whether each of the following levels of sales is in the operating profit area, operating loss area, or at the break-even point

4,800 units	Operating loss area
8,000 units	Operating loss area
12,000 units	Break-even point
16,000 units	Operating profit area
20,000 units	profit