SFTING SALES PRICE AND COMPUTINGTHE BRFAK-EVEN POINI per yes of anow product. The followite estimates hwe been made of the compary's cots and eaperises fosher than incane tany Instructions a) What should the company eutobish as the galer prioe per unit if if sets a tanget ot earming an operated income of 5700000 by produging and weane 60000 unsts durine the fieit yeat of optathans? itunt: frst combute the requered contiflation irirgin per unit? b. At the init whrf brice compuited in part a. hnu fanty anits endet the company prodoce and seli to breakeven? (Absunk all unei prodaced ore wald) the sales price conpoted in part a? Ionic Charge, is a newly organized manufacturing business that plans to manufacture and sell 60,000 units per year of a new product. The following estimates have been made of the company's costs and expenses (other than income taxes): Instructions a. What should the company establish as the sales price per unit if it sets a target of earning an operating income of $700,000 by producing and selling 60,000 units during the first year of operations? (Hint: First compute the required contribution margin per unit.) b. At the unit sales price computed in part a, how many units must the company produce and sell to break even? (Assume all units produced are sold.) c. What will be the margin of safety (in dollars) if the company produces and sells 60,000 units at the sales price computed in part a? d. Assume that the marketing manager thinks that the price of this product must be no higher than $60 to ensure market penetration. Will setting the sales price at $60 enable lonic Charge to break even, given the plans to manufacture and sell 60,000 units? Explain your