Module - Break-even point Summative Evaluation 4 4 Summative Evaluation 4 1. A group of students started a project at the school to sell beach towels and hand over all the profits to the Foundation, to give scholarships to deserving students. They did an analysis and decided to sell the towels for $40 each. To break even, they calculated that they have to sell $40,000 worth of towels and that the contribution margin is $12 per unit. (6 points) a) Calculates the volume break-even point (units). b) Determines the fixed cost of the project. c) Calculate the income that will be earned if students sell 1,500 towels. 2. Jacob, a chef who lives in the community, is really excited to launch his own cookbook. He found a local publishing house that charges him $25,500 a year in overhead (fixed