PROBLEMS: 1. Disney partnered with Allure Bridals to produce a line of princess wedding gowns. Their lowest- selling design is a light pink gown covered in crystals. Disney and Allure are considering lowering the selling price of the gown to stimulate demand. However, before lowering the price, they must evaluate the total costs associated with the gown. Fabric and materials - $62/gown Labor to construct the gown - $40/gown H Equipment cost for these gowns (steamer and sewing machines) - $3,000 Disney and Allure anticipate selling 500 gowns after lowering the selling price. Assuming their projection is accurate, what is the total average cost they will incur per gown? 2. Donald Duck estimates that the fixed costs associated with opening his photography studio are $40,000. He expects the studio to book 260 sessions in the first year, each of which will cost him $50 to service. He estimates the studio will generate $91,000 in revenue. For Donald Duck, the total cost of opening his photography studio and staying in business for one year will be: 3. Lumire Lighting sells a lamp kit for making personalized lighting. The company sells each lamp kit for $22. The average variable cost for each lamp kit is $13, and the total annual fixed cost for plant operation is $78,300. What is the break-even point in units? 4. If the fixed costs of manufacturing a Loungefly Splash Mountain backpack are $10,000, the sales price is $60, and the variable cost per unit is $20, the break-even point is how many units: 5. Simply Pixie Dust is a new competitor of Starbucks on Main Street. The bakery sells delicious cookies especially Peter's Lost Chip (filled with three types of chocolate chips). The total annual fixed cost for the bakery is $25,000, and the variable cost per unit is $2.00. If the sales price per cookie is $6.00, what is the break-even point in units