Product Pricing: Single Product Presented is the 2009 contribution income statement of Colgate Products.

COLGATE PRODUCTS Contribution Income Statement For Year Ended December 31, 2009
Sales (6,000 units)		$720,000
Less variable costs
Cost of goods sold	$240,000
Selling and administrative	66,000	(306,000)
Contribution margin		414,000
Less fixed costs
Manufacturing overhead	290,000
Selling and administrative	90,000	(380,000)
Net income		$34,000

During the coming year, Colgate expects an increase in variable manufacturing costs of $6 per unit and in fixed manufacturing costs of $24,000. (a) If sales for 2010 remain at 6,000 units, what price should Colgate charge to obtain the same profit as last year? ____ (b) Management believes that sales can be increased to 8,000 units if the selling price is lowered to $105. What would be the excepted profit (or loss) as a result of this action? Use a negative sign with your answer, if appropriate. ____ (c) After considering the expected increases in costs, what sales volume is needed to earn a profit of $34,000 with a unit selling price of $105? ____ units