Managerial hw

5. WCompany expects to produce and sell 500 units next month. Data on costs follows: Per unit information: Selling price $8.00 Variable manufacturing costs 2.75 Variable selling costs 0.25 Fixed costs: Fixed manufacturing costs $1,000 Fixed selling costs 125 Required: A. What is the breakeven point in units? B. What is the break-even point in sales dollars? C. What is the expected operating income for next month? D. What is the margin of safety in dollars? E. What is the breakeven point in units if xed manufacturing costs increase by $500? F. What is the breakeven point in units if variable manufacturing costs decrease by $0.75? 6. Just Burn It! Manufactures blank CDs. The company incurs $22,000 in monthly depreciation costs on its manufacturing equipment as well as monthly advertising costs of $2,000 to place ads in newspapers and on the radio. Each CD requires materials and manufacturing overhead resources. On average the company uses 26,000 pounds of material to manufacture 12,000 CDs per month. Each pound of material costs $2.50. The manufacturing overhead is driven by machine hours and on average the company incurs $30,000 in manufacturing overhead to produce 12,000 CDs per month. Required: 1.) Create a formula for the monthly cost of the CDs for Just Burn It! 2.) If the company plans to manufacture 15,000 CDs next month, what is the expected xed cost? What is the total variable cost? What is the total cost