Sheridan Company produces a single product. It sold 69,000 units last year with the following results: \begin{tabular}{lrrr} Sales & & $1,725,000 \\ \hline Variable costs & $690,000 & \\ \hline Fixed costs & 276,000 & & 966,000 \\ Operating income before taxes & & & 759,000 \\ Income taxes (45\%) & & 341,550 \\ \hline Operating income & $417,450 \\ \hline \end{tabular} In an attempt to improve its product, Sheridan is considering replacing a component part in its product that has a cost of $5 per unit with a new and better part costing $10 per unit during the coming year. A new machine would also be needed to increase plant capacity. The machine would cost $82,800, with a useful life of six years and no salvage value. The company uses straightline depreciation on all plant assets. What was Sheridan's break-even point in units last year? Break-even point units Question Part Score How many units of product would Sheridan have had to sell in the past year to earn $227,700 in operating income after taxes? Question Part Score If Sheridan wishes to maintain the same contribution margin ratio, what selling price per unit of product must it charge next year to cover the increased materials costs? (Round answer to 2 decimal places, e.g. 15.25.) Selling price per unit