Projected cost information for a new product is as follows

Variable manufacturing costs: $22 per unit

Variable selling costs: $8 per unit

Fixed manufacturing costs: $220,000

Fixed selling costs: $60,000

The product is to be sold at $40 per unit

1. What is the break-even point for this product, in sales dollars.

2. What price would the company have to sell this product for if they determine that they sell 40,000 units and realize a profit of $150,000.