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show all work plz 10 Orange Company produces E-Reader. The following cost information from last year is available: Fixed cost Variable cost Selling price Units

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10 Orange Company produces E-Reader. The following cost information from last year is available: Fixed cost Variable cost Selling price Units sold $6 per unit $45 per unit $60 per unit 20,000 units The company is considering a higher resolution of display. The use of higher resolution display would result in the following: Increase in variable cost Elimination of one quality inspector whose annual salary is Annual sales in units will increase to $3 per unit $39,000 24,000 units If the company uses the higher resolution display this year, what is the impact on its break-even point in unit sales? (Round the answer to the nearest unit.) A. Break-even point in unit sales will decrease by 2,000 units B. Break-even point in unit sales will decrease by 2,600 units C. Break-even point in unit sales will decrease by 1,250 units D. Break-even point in unit sales will decrease by 4,400 units E. Break-even point in unit sales will increase by 6,750 units 11 Which of the following statements is NOT true? A. Cost structure is defined as the relative proportion of fixed and variable costs in an organization. B. The contribution margin ratio always increases when variable costs as a percent of sales decrease. C. If the company increases the proportion of fixed costs relative to variable costs in its cost structure, they will enjoy greater profit in the good years. D. If the company increases the proportion of variable costs relative to fixed costs, their profit will be more volatile than their profit based on the existing cost structure. E. Cost structure affects the operating leverage. 12 Our company currenty makes and sells two products: A and B. The relative number of production and sales between A and B is 2:3. In other words, each time the company produces and sells two units of product A, it produces and sells three units of product B. The following cost information is available: Company A B Unit Selling Price $11 $15 Unit Varible Cost $5 $7 Total fixed expenses $15,000 How much sales volume does the company need to make from Product B if it wants to achieve $3,000 profits? (Do not round intermediate calculations. Round the final answer to the nearest units.) A. 1,500 units B. 1,340 units C. 893 units D. 1,000 units E. None of the above 13 This year, the company's sales has increased from $200,000 to $240,000 and its profit has increased by $12,000 compared to last year. The Degree of Operating Leverage (DOL) this year is 4.00. If the sales are expected to increase by 5% next year, how much profit does the company will make next year? A. $ 14,400 B. $ 18,000 c. $ 18,900 D. $ 21,600 E. None of the above

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