Refer to the following data and description,

1. calculate the break even points in both unit sales and dollar sales in Excel;

2. list all the five parameters from the CVP analysis for any kind of business;

3. assume now the actual sales is below the break even point. use CVP model to explain a few options to improve the business performance.

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The Company prepared the following income statement with the sales volume of 1,000 units (the production range/capacity is 500 to 1,500 units)

sales 20,000

variable cost 12,000

margin 8,000

fixed cost 6,000

net profit 2,000