Scholes Systems supplies a particular type of ofice chair to large retailers such as infation on its operations. Presently, the company sells 95,000 units for $55 Production engineers have advised management that they expect unit labor costs to rise by 15 percent and unit materials year. Of the $25 variable costs, 40 percent ar prices cannot increase more than 10 percent. it is also expected that fixed costs wil nise by 7 percent as a result of Target, Costco, and Ofmce Max Scholes is concerned about the possible effects of per unit. The variable production costs are $25, and fixed costs amount to $1,550,000. e from labor and 30 percent are from materials. Variable percent in the coming overhead costs are expected to increase by 20 percent. Sales charges increased taxes and other miscellaneous fixed The company wishes to maintain the same level of pront in during the year real dollar terms. It is expected that to accomplish this objective, profitis must increase by 10 percent Required a. Compute the volume in units and the dollar sales level necessary to maintain the present profit level, assuming that the maximum price increase is implemented Do not round intermediate calculations. Round up your answer for Volume in units" to the nearest whole number and round your answer for "Sales" to the nearest whole dollar amount.) 3 Answer is complete but not entirely correct. Volume in units Sales 93,180 5,637.386 b. Compute the volume of sales and the dollar sales level necessary to provide the 10 percent increase in profts, assuming that the maximum pice increase is implemented. (Do not round intermediate calculations. Round up your answer for Volume in units" to the nearest whole number and round your answer for "Sales" to the nearest whole dollar amount.) Answer is complete but not entirely correct. 97.274 3 5.885.099 Volume in units Sales ain at 95,000 units, what price change would be required to attain the 10 percent increase in profits? Calculate the new c. If the volume of sales were to rema price (Round intermediate calculations of unit cost and final answer to 2 decimal places.) Answer is complete and correct. 61260 s 61.26