Natural Drinks Company bottles and distributes organic lemon and honey tea. The beverage is sold for 50 cents per 16-ounce bottle to retailers. For the year 2021, management estimates the following revenues and costs. Sales $1,800,000 Selling expensesvariable $70,000 Direct materials 430,000 Selling expensesfixed 65,000 Direct labor 360,000 Administrative expvariable 20,000 Manufacturing OHvariable 380,000 Administrative expfixed 60,000 Manufacturing OHfixed 280,000

a) Determine the variable costs per unit and the total annual fixed costs. b) Compute the break-even point in units and dollars. c) How many units would Natural Drinks need to sell to earn net income of $180,000?