Question 20 (1 point) BIRKENSTOCK CVP PROBLEM: Birkenstock is considering adding a new Big Buckle sandal to its current product offerings. Birkenstock expects to price the shoes at $135 per pair. The variable costs to produce one pair are estimated to be: $20 per pair direct materials: $25 per pair direct labor: $5 per pair shipping costs and $5 per pair miscellaneous overhead. The fixed costs for this line of shoes are: $50,000 advertising/promotion: $150,000 manufacturing plant manager salary: $300,000 depreciation expense on manufacturing equipment; and $50,000 other miscellaneous fixed costs. How many pairs of sandals does Birkenstock need to sell to break even? 3,875 pairs 10,000 pairs 6,875 pairs 4,074 pairs