Requirements Requirement 1. What is the current annual operating income? (a) Start by determining the formula to calculate operating income. Consider each case separately: 1. a. What is the current annual operating income? b. What is the current breakeven point in revenues? Compute the new operating income for each of the following changes: The current annual operating income is 2. A $0.04 per unit increase in variable costs 3. A 10% increase in fixed costs and a 10% increase in units sold (b) What is the current breakeven point in revenues? 4. A 40% decrease in fixed costs, a 40% decrease in selling price, a 30% Determine the formula to calculate the breakeven point in revenues. decrease in variable cost per unit, and a 35% increase in units sold Compute the new breakeven point in units for each of the following changes: 5. A 10% increase in fixed costs 6. A 10% increase in selling price and a $40,000 increase in flxed costs The current breakeven point in revenues equal