Q1 Some recent college graduates are considering starting a new Yumiforyurtumi Frozen Yogurt Shop in a small suburb. They estimate the average customer will order an 8 ounce cone (or its equivalent in a cup) and be willing to pay $4.00 per cone. Its cost to them will be $.80 wholesale. They also estimate the fixed cost of the shop will be $190,320 per year. Finally, they estimate the shop will sell 52,128 cones per year. Use this information to answer the questions below. Follow the Inputs/Outputs/Calculations structure.

A What would be their expected profit or loss the first year?

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B How many cones would they have to sell to breakeven in Year 1

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C In percentage terms, how much higher is the breakeven quantity than their original estimate of 52,128?

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D Keep the estimated quantity at its original level, 52,128 and all other variables at their original values also. What price would they have to charge to breakeven?

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E In percentage terms, how much higher is the breakeven price than their original price of $4.00?

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(Show Inputs/Output/Calculations below.)