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Please answer using excel and showing formulas. Thank you Problem 1 You're planning to manufacture a new brand of special purpose GPUs for machine learning

Please answer using excel and showing formulas. Thank you

Problem 1

You're planning to manufacture a new brand of special purpose GPUs for machine learning applications. The key question is whether sales will be strong enough to at least break even. Problem 1.2 sheet lists necessary inputs in yellow cells. Answer the following questions:

(a) What is the accounting profit when unit sales are 1,100,000 units? (3 points)

(b) At what level of unit sales you will break even? (3pts)

(c,) How can you use Goal Seek to calculate break even level of unit sales? (7 points)

Set cell

To value:

By changing cell:

(d) Create a graph that is going to show fixed cost, variable cost, total cost, sales revenue and accounting profit as a function of unit sales. Label X-axis as "Unit Sales", title the graph "Break even analysis", make sure that labels describing each relationship are displayed on the graph. Create graph on a separate sheet (7 points) (e) Complete Data table in Problem 1.2 sheet and describe how you use Table tool to complete it (7 points)

Row input cell

Column input cell

Special purpose GPUs project (problem 1.2)

Inputs:

Fixed Costs $52,000,000

Sales Revenue / Unit $2,700

Variable Costs / Unit $2,600

Calculating accounting profit:

Unit Sales

Sales Revenue

Variable Costs

Gross Margin Fixed Costs

Accounting Profit

Data Table: Sensitivity of Costs, Revenues, and Acct. Profit to Unit Sales Input Values for Unit Sales

0 250,000 500,000 750,000 1,000,000 1,250,000 1,500,000

Fixed Costs

Variable Costs

Total Costs

Sales Revenue

Accounting Profit

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