Jassim operates retail stores in several shopping malls. The average selling price of an arrangement is $30 and the average cost of each sale is $18. A new mall is opening where Jassim wants to locate a store, but the location manager is not sure about the rent method to accept. The mall operator offers the following three options for its retail store rentals: 1. paying a fixed rent of $15,000 a month, or 2. paying a base rent of $9,000 plus 10% of revenue received, or 3. paying a base rent of S4,800 plus 20% of revenue received up to a maximum rent of $25,000. Required: a. For each option, compute the breakeven sales and the monthly rent paid at break-even. b. Beginning at zero sales, show the sales levels at which each option is preferable up to 5,000 units. Case 2: : 8marks Bader currently sells hot dogs. During a typical month, the stand reports a profit of $9,000 with sales of $50,000, fixed costs of $21,000, and variable costs of S0.64 per hot dog. Next year, the company plans to start selling cookies for $3 per unit. Cookies will have a variable cost of $0.72 and new equipment and personnel to produce nachos will increase monthly fixed costs by $8.808. Initial sales of nachos should total 5,000 units. Most of the nacho sales are anticipated to come from current hot dog purchasers, therefore, monthly sales of hot dogs are expected to decline to $20,000. After the first year of nacho sales, the company president believes that hot dog sales will increase to $33,750 a month and nacho sales will increase to 7,500 units a month. Required: Determine the monthly breakeven sales in dollars before adding nachos. b. Determine the monthly breakeven sales during the first year of nachos sales, assuming a constant sales mix of 1 hotdog and 2 units of nachos. a. Case study 3: 4 marks Manal Company sells only two products, Product A and Product B. Product A Product Total Selling price S40 S50 Variable cost per unit S24 $40 Total fixed costs $840,000 Mount Carmel sells two units of Product A for each unit it sells of Product B. Mount Carmel faces a tax rate of 30%. b. Required: a. What is the breakeven point in units for each product assuming the sales mix is 2 units of Product A for each unit of Product B? What is the breakeven point Manal's tax rate is reduced to 25%, assuming the sales mix is 2 units of Product A for each unit of Product B? c. How many units of each product would be sold if Manal desired an after-tax net income of $73,500, facing a tax rate of 30%