Query Company sells pillows for $25 each. The manufacturing cost, all variable, is $10 per pillow. The company is planning on renting an exhibition stand for both display and selling purposes at the annual crafts and art convention. The convention coordinator allows two options for each participating company. They are:

Option 1. Paying a $4,000 fee (fixed) plus 10% of revenue made at the convention

Option 2. Paying 20% of revenue made at the convention

(For each item below select from the drop-down list.)

a) What is the breakeven sales quantity in pillows for Option 1?

b) If Query Company sells 800 pillows, what is the profit from Option 1?

c) What is the breakeven sales quantity in pillows for Option 2?