Ronald Enterprises Ltd. has estimated the following costs for producing and selling 16,200 units of its product:

Direct materials

$81,000Direct labour

97,200Variable overhead

48,600

Fixed overhead

30,000Variable selling and administrative expenses

48,600Fixed selling and administrative expenses

37,500

Ronald Enterprises' income tax rate is 40%.

1.Given that the selling price of one unit is $37, calculate how many units Ronald Enterprises would have to sell in order to break even.

Break-even units:____

2.Assume the selling price is $42 per unit. Calculate how many units Ronald Enterprises would have to sell in order to produce a profit of $24,500 before taxes.

Target units:_____units

3.Calculate what price Ronald Enterprises would have to charge in order to produce a profit of $27,000 after taxes if 7,500 units were produced and sold.

Ronald Enterprises should charge

$______per unit

4.Calculate what price Ronald Enterprises would have to charge in order to produce a before-tax profit equal to 30% of sales if 9,600 units were produced and sold.(Round answer to 2 decimal places, e.g. 15.25.)

Ronald Enterprises should charge

$______per unit