Problem 19-02 The management of a firm wants to introduce a new product. The product wiil sell for $5 a unit and can be producid by either of two scoles of operation, th the lirst, total costs are TC=$3,500+52.6Q In the second scale of eperation, totai costs are TC=52,670+51.9Q a. What is the break-even level of output for each scale of operation? Hound your answens to the nearest whole number. The first scale of operation: 6 units The second scale of operation: (3 units b. What wil be the firm's profits for each scale of operation it sales reach 3,100 unitg? Round your snswers to the masest doller. The first scale of operation: 1 The sacond scaie of operationt 1 c. One-half of the fixed cests are noncash (depeecimten). All other expanses are for cash. If sales are goo units, will cash recepts cover cash expenses for each scave of eperation? Enter your answe positive yalues. Round your anshers to the nearest dollar. The first scale of operation generates a cash flow of s The second acale of operation generates a cash flaw of s (3) a. The anticipated leveit of sales are the following: If mansgement welects the scale of production with higher fixed cont, what can it erpect in years 1 and 2 ? Round your anssers to tha nearest dollas. Earnings in year 11.1 Earnings in year 2:s If the firm selects the scale with higher fixed costs, its earnings in year 1 wet be earnings in year 2 . If shies reach only 3,100 a year, was the correct scale of optraten chasen? Be sure to consider all the factors. should heve been preferred