Selmore Collectible Toy Company (SCTC) makes toy sets consisting of collectible trucks, vans, and cars for the retail market. The firm is developing a new toy set that includes a battery-powered tractor trailer, complete with cab and trailer; a sports car; and a motorcycle. Each set sells for $100. Table 1 shows the major components of SCTCs annual fixed costs for the toy set. Each component includes the cost of purchases, fixed costs and operation expenses. Table 2 shows the components of SCTCs variable costs.

Category	Amount
Land	$42,500
Buildings	$332,500
Manufacturing machinery	$532,000
Office equipment	$212,800
Utilities	$30,500
Insurance	$99,700
Total	$1,250,000

Category	Amount
Labor	$15.00
Advertising	$1.00
Shipping and receiving	$5.00
Total	$21.00

Prepare a spreadsheet to support the decision-making needs of SCTCs managers. The spreadsheet should show the fixed costs, variable costs per unit, the contribution margin, and the break-even point for this product.

How many sets does SCTC have to sell before it can start turning a profit?

Include a data table to show alternative break-even points, assuming variations in insurance costs and labor costs. Perform your analysis for insurance between $90,000 and $110,000 in increments of $5,000 and labor costs between $12 and $17.00 in increments of $1.00. This data table should be in the form of a matrix with the columns reflecting the labor costs and the rows reflecting the insurance costs.

How would increasing the sale price to $125 affect the break-even point?