Part 1

Part 2

Rosario Company, which is located in Buenos Aires, Argentina, manufactures a component used in farm machinery. The firm's fixed costs are 3,300,000 p per year. The variable cost of each component is 1,100 p, and the components are sold for 3,300 p each. The company sold 5,200 components during the prior year. (p denotes the peso, Argentina's national currency. Several countries use the peso as their monetary unit. On the day this exercise was written, Argentina's peso was worth.192 U.S. dollars. In the following requirements, ignore income taxes.) Required: 1. Compute the break-even point in units. (Round your final answer to nearest whole number.) Break-even point components 2. What will the new break-even point be if fixed costs increase by 15 percent? (Round your final answer to nearest whole number) New break-even point components 3. What was the company's net income for the prior year? Net income