Part C ONLY: please review my answer in the excel file. I previously submitted this question and received an answer in the last photo but some of the numbers don't match what I'm getting and I'm not sure why. I highlighted in yellow the answer Chegg gave next to the answers I got highlighted in green. Please let me know which is right and why.

AD19 OP Q 1 c. Paul was a marketing major in college. He believes that sales volume can be 2 increased only by intensive advertising and promotional campaigns. He 3 therefore proposed the following plan as an alternative to Peri's: (1) increase 4 variable selling expenses to $0.59 per unit, (2) lower the selling price per unit 5 by $0.25, and (3) increase fixed selling expenses by $40,000. Paul quoted an old ing research report that said that sales volume would increase by 60% if 7. these changes were made. What effect would Paul's plan have on the profits and the break-even point in dollars of the partnership? Iloit $200,000 $202,400 $90,000 21 10 Selling Price $4.75 11 Variable cost 12 cost of goods sold $2.50 13 selling expenses $0.59 14 administrative $0.25 15 Contribution margin $1.41 29.68% 16 Fixed Cost 17 cost of goods sold 18 selling expenses 19 administrative 20 Peri And Paul Company Income Statement For the Year Ended December 31,2017 23 Sales (384,000 units) 24 Cost of goods sold 25 Gross profit 26 Operating Expenses 27 Selling $226,560 28 Administrative $96,000 29 Contribution Margin 30 Fixed Cost 31 Cost of goods sold 32Selling 33 Administrative 34 Total Fixed 35 Net Loss $1,824,000 $960,000 $864,000 $322,560 $541,440 $353,280 $200,000 $202,400 $90,000 $492,400 $49,040 $139,120 Break Even $ Fixed costs Contribution margin ratio CT 9-3 CT 11-2 # $49,040 29.68% 165,206 $25,542,283 PERI AND PAUL COMPANY Income Statement For the Year Ended December 31, 2017 Sales (240,000 units) $1,200,000 Cost of goods sold 800,000 Gross profit 400,000 Operating expenses Selling $280,000 Administrative 150,000 430,000 Net loss $ (30,000) A cost behavior analysis indicates that 75% of the cost of goods sold are variable, 42% of the selling expenses are variable, and 40% of the administrative expenses are variable. Instructions (Round to nearest unit, dollar, and percentage, where necessary. Use the CVP income statement format in computing profits.) (a) Compute the break-even point in total sales dollars and in units for 2017. (b) Peri has proposed a plan to get the partnership "out of the red" and improve its profit- ability. She feels that the quality of the product could be substantially improved by spending $0.25 more per unit on better raw materials. The selling price per unit could be increased to only $5.25 because of competitive pressures. Peri estimates that sales volume will increase by 25%. What effect would Peri's plan have on the profits and the break-even point in dollars of the partnership? (Round the contribution margin ratio to two decimal places.) (c) Paul was a marketing major in college. He believes that sales volume can be increased only by intensive advertising and promotional campaigns. He therefore proposed the following plan as an alternative to Peri's: (1) increase variable selling expenses to $0.59 per unit, (2) lower the selling price per unit by $0.25, and (3) increase fixed selling expenses by $40,000. Paul quoted an old marketing research report that said that sales volume would increase by 60% if these changes were made. What effect would Paul's plan have on the profits and the break-even point in dollars of the partnership? (d) Which plan should be accepted? Explain your answer. Revised sales price Revised salesquantity Total sales Revised variable cost Total Variable cost Contribution Fixed cost revised Net Loss Contribution Margin Break even point 5 384,000 1,824,000 4 1,470,720 353,280 492,400 (139,120) 19% 2,542,283