Jonathan Sports, Inc., produces high-quality sports equipment. The companys Racket Division manufactures three tennis racquetsthe Standard, the Deluxe, and the Prothat are widely used in amateur play. Selected information on the racquets is given below:

Standard Deluxe Pro

Selling price per racquet $40.00 $60.00 $90.00

Variable expenses per racquet:

Production $22.00 $27.00 $31.50

Selling (5% of selling price) $ 2.00 $ 3.00 $ 4.50

All sales are made through the companys own retail outlets. The Racquet Division has the following monthly fixed costs:

Fixed production costs $150,000

Advertising expense 100,000

Administrative salaries 200,000

Total $450,000

Sales of the three racquets are in the proportion of 6 to 2 to 2, Standard, Deluxe, and Pro, respectively.

Required:

1. Determine the breakeven point in units for each of the three racquets.
2. Determine the operating income if a total of 30,000 racquets are sold in the sales mix proportion.