Problems 1. The Willow Furniture Company produces tables. The fixed monthly cost of production is $8,000, and the variable cost per table is $65. The tables sell for $180 apiece. a. For a monthly volume of 300 tables, determine the total cost. total revenue, and profit. b. Determine the monthly break-even volume for the Willow Furniture Company. 2. The Retread Tire Company recaps tires. The fixed annual cost of the recapping operation is $60.000. The variable cost of recapping a tire is $9. The company charges $25 to recap a tire. a. For an annual volume of 12.000 tires, determine the total cost, total revenue. and profit. b. Determine the annual break-even volume for the Retread Tire Company operation. 3. The Rolling Creek Textile Mill produces denim. The fixed monthly cost is $21.000, and the vari- able cost per yard of denim is $0.45. The mill sells a yard of denim for $1.30. a. For a monthly volume of 18,090 yards of denim, determine the total cost. total revenue, and profit. b. Determine the annual break-even volume for the Rolling Creek Textile Mill. 4. Evergreen Fertilizer Company produces fertilizer. The company's fixed monthly cost is $25,090, and its variable cost per pound of fertilizer is $0. 15. Evergreen sells the fertilizer for $0.40 per pound. Determine the monthly break-even volume for the company. 5. Graphically illustrate the break-even volume for the Retread Tire Company determined in Problem 2. 6. Graphically illustrate the break-even volume for the Evergreen Fertilizer Company determined in Problem 4. 7. Andy Mendoza makes handcrafted dolls, which he sells at craft fairs. He is considering mass- producing the dolls to sell in stores. He estimates that the initial investment for plant and equip- ment will be $25.000, whereas labor, material, packaging, and shipping will be about $10 per doll. If the dolls are sold for $30 each, what sales volume is necessary for Andy to break even? 8. If the maximum operating capacity of the Retread Tire Company, as described in Problem 2. is 8.000 tires annually, determine the break-even volume as a percentage of that capacity 9. If the maximum operating capacity of the Rolling Creek Textile Mill described in Problem 3 is 25.000 yards of denim per month, determine the break-even volume as a percentage of capacity. 10. If the maximum operating capacity of Evergreen Fertilizer Company described in Problem 4 is 120.000 pounds of fertilizer per month, determine the break-even volume as a percentage of capacity. 1 1. If the Retread Tire Company in Problem 2 changes its pricing for recapping a tire from $25 to $31, what effect will the change have on the break-even volume? 12. If Evergreen Fertilizer Company in Problem 4 changes the price of its fertilizer from $0.40 per pound to $0.60 per pound, what effect will the change have on the break-even volume? 13. If Evergreen Fertilizer Company changes its production process to add a weed killer to the fer- tilizer in order to increase sales, the variable cost per pound will increase from $0.15 to $0.22. What effect will this change have on the break-even volume computed in Problem 127 14. If Evergreen Fertilizer Company increases its advertising expenditures by $14,000 per year. what effect will the increase have on the break-even volume computed in Problem 132 15. Pastureland Dairy makes cheese, which it sells at local supermarkets. The fixed monthly cost of production is $4.000, and the variable cost per pound of cheese is $0.21. The cheese sells for $0.75 per pound; however, the dairy is considering raising the price to $0.95 per pound. The dairy currently produces and sells 9,090 pounds of cheese per month. but if it raises its price per pound, sales will decrease to 5,700 pounds per month. Should the dairy raise the price