Last year Minden Company introduced a new product and sold 15,000 units of it at a price of $74 per unit. The product's variable expenses are $44 per unit and its fixed expenses are $528,600 per year. Required: What was this product's net operating income (loss) last year? What is the product's break-even point in unit sales and dollar sales? Assume the company has conducted a marketing study that estimates it can increase annual sales of this product by 5,000 units for each $2 reduction in its selling price. If the company will only consider price reductions in increments of $2 (e.g., $72, $70, etc.), what is the maximum annual profit that it can earn on this product? What sales volume and selling price per unit generate the maximum profit? What would be the break-even point in unit sales and in dollar sales using the selling price that you determined in requirement 3? Assume the company has conducted a marketing study that estimates it can increase annual sales of this product by 5,000 units for each $2 reduction in its selling price. If the company will only consider price reductions in increments of $2 (e.g., $68, $66, etc.), what is the maximum annual profit that it can earn on this product? What sales volume and selling price per unit generate the maximum profit?

Maximum annual profit:$281,400

Number of units: 45,000

Selling price per unit:?

What would be the break-even point in unit sales and in dollar sales using the selling price that you determined in requirement 3?

Note: Do not round intermediate calculations.

Break-even point in units	29,367
Break-even point in dollar sales	?