Lucid Images Ltd manufactures premium high definition televisions. The firm's fixed costs are $4 000 000 per year. The variable cost of each TV is $2 000, and the TVs are sold for $3 000 each. The company sold 5 000 TVs during the previous year. (In the following requirements, ignore income taxes.) Required: Page 894 Treat requirements 1 to 4 as independent situations: 1. Calculate the break-even point in units. 2. What will the new break-even point be if fixed costs increase by 10 per cent? 3. What was the company's net profit for the previous year? 4. The sales manager believes that a reduction in the sales price to $2 500 will result in orders for 1 200 more TVs each year. What will the break-even point be if the price is changed? 5. Should the price change discussed in requirement 4 be made? Explain