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JBeats produce and sell a product that has variable costs of $33 and a selling price of $68 . Its current sales total $204,000 per

JBeats produce and sell a product that has variable costs of $33 and a selling price of $68 . Its current sales total $204,000 per month. Fixed manufacturing costs total $25,000 per month and fixed selling and administrative costs total $17,000 per month. The company is considering a proposal that will increase the selling price by 5%, increase the fixed manufacturing costs by 5%, and increase the fixed selling and administrative costs by $3,500.

A. Compute JBeatss current break-even point in units.

B. Compute JBeatss margin of safety in dollars.

C. Compute JBeatsss net income.

D. Compute JBeatss breakeven point in units assuming they accept the proposal.

E. Compute JBeatss net income assuming they accept the proposal and sales total 3,300.

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