Richter Company has a single product called a Wim. The company normally produces and sells 60,000 Wims each year at a selling price of $40 per unit. The company's unit costs at this level of activity are given below: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling expenses Fixed selling expenses 7.70 13.00 3.50 6.00 3.50 4.50 Total cost per unit $38.20 A number of questions relating to the production and sale of Wims are given below. Each question is independent