ses are variable, and 40% of the administrative expenses are variable. A)What is the breakeven point in dollars? B)Sandhill has proposed a plan to get the partnership out of the red and improve its profitability. She feels that the quality of the product could be substantially improved by spending $0.25 more per unit on better raw materials. The selling price per unit could be increased to only $5.25 because of competitive pressures. Sandhill estimates that sales volume will increase by 25%. Compute the net income under Sandhill's proposal and the break-even point in dollars. (Round intermediate calculations to 4 decimal places, e.g. 15.2515 and final answers to 0 decimal places, e.g. 2,520.) Net Income? Breakeven point? C)Paul was a marketing major in college. He believes that sales volume can be increased only by intensive advertising and promotional campaigns. He therefore proposed the following plan as an alternative to Sandhills: (1) increase variable selling expenses to $0.59 per unit, (2) lower the selling price per unit by $0.25, and (3) increase fixed selling expenses by $40,000. Paul quoted an old marketing research report that said that sales volume would increase by 60% if these changes were made. Compute the net income under Pauls proposal and the break-even point in dollars. (Round intermediate calculations to 4 decimal places, e.g. 15.2515 and final answers to 0 decimal places, e.g. 2,520.) Net income? Break even point?

The condensed income statement for the Sandhill and Paul partnership for 2020 is as follows. X Your answer is incorrect. Sandhill has proposed a plan to get the partnership out of the red" and improve its profitability. She feels that the quality of the product could be substantially improved by spending $0.25 more per unit on better raw materials. The selling price per unit could be increased to only $5.25 because of competitive pressures. Sandhill estimates that sales volume will increase by 25%. Compute the net income under Sandhill's proposal and the break-even point in dollars. (Round intermediate calculations to 4 decimal places, e.g. 15.2515 and final answers to decimal places, e.g. 2,520.) Sandhill and Paul Company Income Statement For the Year Ended December 31, 2020 Sales (300.000 units) $1,500,000 Cost of goods sold 1.040.000 Gross profit 460.000 Operating expenses Selling $350.000 Administrative 157.500 507,500 Net loss $147.500) Amount Net income $ Break-even point $ e Textbook and Media A cost behavior analysis indicates that 75% of the cost of goods sold are variable, 42% of the selling expenses are variable, and 40% of the administrative expenses are variable. Your answer is incorrect. X Your answer is incorrect. Compute the break-even point in total sales dollars for 2020. (Round intermediate calculations to 2 decimal places, e.g. 15.25 and final answers to decimal places, e.g. 2,520.) Paul was a marketing major in college. He believes that sales volume can be increased only by intensive advertising and promotional campaigns. He therefore proposed the following plan as an alternative to Sandhill's: (1) increase variable selling expenses to $0.59 per unit. (2) lower the selling price per unit by $0.25, and (3) increase fixed selling expenses by $40,000. Paul quoted an old marketing research report that said that sales volume would increase by 60% if these changes were made. Compute the net income under Paul's proposal and the break-even point in dollars. (Round intermediate calculations to 4 decimal places, eg. 15.2515 and final answers to decimal places, eg. 2,520.) Break-even point in dollars $ e Textbook and Media Amount Net income $ Break-even point $ e Textbook and Media