Required Information [The following information applies to the questions displayed below] Monterey Co. makes and sets a single product. The current selling price is $18 per unit Variable expenses are $10.8 per unit, and fixed expenses total $35,000 per month (Unless otherwise stated, consider each requirement separately) e. What questions would have to be answered about the cost-volume-pront analysis simplifying assumptions before adopting the price cut strategy of part d? (Select all that apply) Check All That Apply Does the increase in volume move Exed expenses into a new relevant range? Does the increase in volume move vanable expenses into a new relevant range? Ane variable expenses really near? Are fixed expenses really near? Required Information [The following information applies to the questions displayed below.] Monterey Co. makes and sells a single product. The current selling price is $18 per unit. Variable expenses are $10.8 per unit, and fixed expenses total $35,000 per month. (Unless otherwise stated, consider each requirement separately) 1-1. Calculate the monthly operating Income (or loss) that would result from a $1 per unit price Increase and a $6,000 per month Increase in advertising expenses, both relative to the original data. Assume a sales volume of 5,000 units per month. (Do not round Intermediate calculations.) 1-2. Is the increase in advertising expense justified by the price Increase? Yes O NO Required Information [The following information applies to the questions displayed below] Monterey Co. makes and sells a single product. The current selling price is $18 per unit. Variable expenses are $10.8 per unit, and fixed expenses total $35,000 per month. (Unless otherwise stated, consider each requirement separately) Management is considering a change in the sales force compensation plan. Currently each of the firm's two salespeople is paid a salary of $2,500 per month. g-1. Calculate the monthly operating Income (or loss) that would result from changing the compensation plan to a salary of $400 per month, plus a commission of $0.85 per unit, assuming a sales volume of 5,000 units per month. (Do not round Intermediate calculations.) g-2. Calculate the monthly operating income (or loss) that would result from changing the compensation plan to a salary of $400 per month, plus a commission of $0.85 per unit, assuming a sales volume of 6,400 units per month. (Do not round intermediate calculations. Losses should be Indicated by a minus sign.) h-1. Assuming that the sales volume of 6,400 units per month achieved in part g could also be achieved by Increasing advertising by $1,000 per month instead of changing the sales force compensation plan. What would be the operating Income or loss? (Do not round Intermediate calculations. Losses should be Indicated by a minus sign.) h-2. Which strategy would you recommend? O Plan to change the sales force compensation. O Plan to Increase advertising expenses