Oriole Company has decided to introduce a new product that can be manufactured by either a capital- intensive method or a labour-intensive method. The manufacturing method will not affect the quality of the product. The estimated manufacturing costs under the two methods are as follows: Capital-Intensive Labour-Intensive Direct materials $2.50 per unit $2.75 per unit Direct labour $3.00 per unit $4.00 per unit Variable overhead $1.50 per unit $2.25 per unit Fixed manufacturing costs $2,776,400 $1,705,000 Oriole's market research department has recommended an introductory unit sales price of $16. The incremental selling expenses are estimated to be $552,200 annually, plus $1 for each unit sold, regardless of the manufacturing method. Calculate the estimated break-even point in annual unit sales of the new product if Oriole Company uses (1) the capital-intensive manufacturing method, or (2) the labour-intensive manufacturing method. (1) Capital-intensive manufacturing method (2) Labour-intensive manufacturing method Break-even point units units Determine the annual unit sales volume at which there would be no difference between methods. Annual sales volume units