Required: Required:

Calculate the company's current income and determine the level of dollar sales needed to double that figure, assuming that

manufacturing operations remain in the United States.

Determine the break$-$even point in speaker sets if operations are shifted to Mexico.

Assume that management desires to achieve the Mexican break$-$even point; however, operations will remain in the United

States.

a$.$ If variable costs remain constant, by how much must fixed costs change?

b$.$ If fixed costs remain constant, by how much must unit variable cost change?

Determine the impact $($increase$,$ decrease, or no effect$)$ of the following operating changes. Answer is complete but not entirely correct.

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Calculate the company's current income and determine the level of dollar sales needed to double that figure, assuming that

manufacturing operations remain in the United States.

Note: Do not round intermediate calculations and round your final answers to nearest whole dollar. Assume that management desires to achieve the Mexican break$-$even point; however, operations will remain in the United

States.

a$.$ If variable costs remain constant, by how much must fixed costs change?

Note: Round your intermediate unit calculations to the nearest whole number and round your final answer to the nearest

whole dollar.

b$.$ If fixed costs remain constant, by how much must unit variable cost change?

Note: Round your intermediate unit calculations to the nearest whole number and round your final answer to $2$ decimal

places.

Calculate the company's current income and determine the level of dollar sales needed to double that figure, assuming that

manufacturing operations remain in the United States.

Determine the break$-$even point in speaker sets if operations are shifted to Mexico.

Assume that management desires to achieve the Mexican break$-$even point; however, operations will remain in the United

States.

a$.$ If variable costs remain constant, by how much must fixed costs change?

b$.$ If fixed costs remain constant, by how much must unit variable cost change?

Determine the impact $($increase$,$ decrease, or no effect$)$ of the following operating changes.