Q1. A car rental agency rents small, medium and family-sized cars. What assumptions would be made for the purpose of a CVP analysis? Does this mean that CVP analysis is of little value to this business? Explain your answer. Q2. The Brisbane Nets, a netball team, play their weekly games at a large stadium in Milton. The stadium holds 6 000 people and tickets sell for $40 each. The team's management estimates that the team's annual fixed costs are $720 000 and that the variable cost per ticket sold is $4. (In the following requirements, ignore income taxes.) Required: 1. If the stadium is two-thirds full for each game, how many games must the team play to break even? 2. What is the safety margin if the team plays a 10-game season and the team management expects the stadium to be 45 per cent full for each game? 3. If the team plays a 10-game season and the stadium is 40 per cent full for each game, what ticket price would the team have to charge in order to break even? Q3. Lucid Images Ltd manufactures premium high definition televisions. The firm's fixed costs are $4 000 000 per year. The variable cost of each TV is $2000, and the TVs are sold for $3 000 each. The company sold 5 000 TVs during the previous year. (In the following requirements, ignore income taxes.) Required: Treat requirements 1 to 4 as independent situations 1. Calculate the break-even point in units. 2. What will the new break-even point be if fixed costs increase by 10 per cent? 3. What was the company's net profit for the previous year? 4. The sales manager believes that a reduction in the sales price to $2 500 will result in orders for 1 200 more TVs each year. What will the break-even point be if the price is changed