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Question 2 (21 marks) Homecare Appliances Ltd (HAL) manufactures and sells an energy efficient air fryer as part of its product range. It retails for

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Question 2 (21 marks) Homecare Appliances Ltd (HAL) manufactures and sells an energy efficient air fryer as part of its product range. It retails for $700. The cost analysis for this product is: Variable cost per unit $325 Fixed costs $125,625 Requirements: Calculate the breakeven-point in units for the number of air fryers. a. (4 marks) b. C. d. How many air fryers must HAL sell to earn a profit of $31,875? (4 marks) How much profit would be eamed at a sales volume of $420,000? (4 marks) The owner of HAL is planning to travel to major shopping malls to demonstrate and promote the air fryer. This initiative will cost $6,000 per year. How many additional air fryers must HAL sell to cover this additional cost? (4 marks) Assume HAL is currently not doing well financially due to poor business conditions. The owner plans to reduce the workforce by 10% next year. What would you expect this decision to have on HAL's break-even point? Explain. e

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