Lorenzo shares the following information with you as you ponder different scenarios to help your client.

Selling price $$7\mathrm{.}50$

Cost for paper, per unit $$0\mathrm{.}70$

Cost for printing, per unit $$1\mathrm{.}10$

Cost for film, per unit $$0\mathrm{.}60$

Staff salaries $$48,000\mathrm{.}00$

Other operating costs $$12,120\mathrm{.}00$

Using Lorenzo$’$s data and proper Excel formulas, first, plan to get an understanding of Lorenzo$’$s financial situation based on breakeven. $1.$  He lets you know that he$’$s been approached by a potential client inquiring about a special order, and he wants you to advise him on whether to accept the order. The client wants $500$ custom posters for $$7$ per poster. The posters will require a different type of paper that will cost $$0\mathrm{.}10$ more per poster. The order will also require Lorenzo to pay an extra $$1000$ in employee costs. $2.$Per Lorenzo$’$s request, you also decide to see what effect a price increase might have on Lorenzo$’$s position. You have noticed that Lorenzo$’$s is one of the only poster shops in the area, and customers may be willing to pay more, and a higher price may even signal higher quality. Though, there are no guarantees that the market will accept the price increase. Lorenzo is looking at increasing the sales price to $$9\mathrm{.}25.$