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Per unit 100 Selling price per unit $ 20.00 7.50 3.50 Direct materials per unit $ Direct labor per unit $ Variable factory overhead per
Per unit 100 Selling price per unit $ 20.00 7.50 3.50 Direct materials per unit $ Direct labor per unit $ Variable factory overhead per unit $ Fixed overhead Selling and administrative per unit $ Fixed selling and administration $ 90,000.00 9.00 $ 40,000.00 1. If Redwood sells 30,000 units, what is net operating income? 2. What is Redwood's breakeven point in sales dollars? 3. If sales volume increases by 20%, (from the original 30,000 units sold) and fixed expenses increase by $50,000, what is the revised net operating income? 4. If the selling price is reduced to $80 per unit, sales volume remains at 30,000 units sold and fixed expenses remain as in the original data, what is the revised net operating income? 5. If the selling price is reduced to $70 per unit, and fixed expenses increase by $40,000 (from the original data), what is new breakeven point
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