1. Given: Sales, $51,000; variable expenses, $18,000; fixed expenses, $18,000; net income, $15,000. Assume no change in selling price; find net income if activity volume increases by 20%.
2. Given: Selling price per unit, $48; total fixed expenses; 106,000; variable expenses per unit; $36. Assume that variable expenses are reduced by 25% per unit, and the total fixed expenses are increased by 15%. Find the sales in units to achieve a profit of $23,000, assuming no change in selling price