Montana Company manufactures and sells one product. The company assembled the following expected costs for its first year of operations: Variable costs per unit: Direct materials 20$ Direct labor 16$ Variable manufacturing overhead Variable selling and administrative Fixed costs per year: Fixed manufacturing overhead 450,000$ Fixed selling and administrative expenses 70,000$ 4$ During its first year of operations, Montana expects to produce 25,000 units and sell 20,000 units. The budgeted selling price of the company's product is 66$ per unit. Required: (answer each question independently by referring to the original data) 1. Compute the company's expected net operating income under absorption costing. 2. Compute the company's expected net operating income under variable costing, 3. The company is considering investing in a higher quality raw material that will increase its direct materials cost by 1$ per unit. It estimates that the higher quality raw material will increase sales by 1,000 units. What will be the company's revised absorption costing net operating income if it invests in the higher quality raw material and continues to produce 25,000 units? What will be its revised variable costing net operating income? 4. What is Montana's break-even point in unit sales? What is its break-even point in dollar sales? (refer to the original data)